Based on the liquidity and financial performance of SolarCity, paired with Tesla's pattern of incurring losses over the past fiscal years, I would advise against this acquisition. The risk simply outweighs the reward. Since its inception, SolarCity has not been profitable, and has yielded performance ratios well below industry averages. Tesla is also struggling, but not on the same scale. Tesla has the resources to improve its performance and improve shareholder value. However, by taking on SolarCity it would be risking its potential to bounce back and improve its financial performance. In addition, based on the DCF Valuation provided, the price per share is overvalued.