Question
The company I will be evaluating is Tesla,Investor Relations | Tesla Investor Relations is the link to all their SEC filings. Overall, Tesla has substantial
The company I will be evaluating is Tesla,Investor Relations | Tesla Investor Relations is the link to all their SEC filings.
Overall, Tesla has substantial growth, and you can see that the further you look back. To conduct my analysis, I went back 10 years and found the average revenue growth percent to find my projections from 2023 to 2025. Over the years Tesla has involved their business from changing their name, to releasing all patents, and producing other products than just EVs. Now they offer solar products, mega battery packs that help power a country to one that powers your home. They have adapted and developed a wide range of products. To give you an idea of how much growth this company has made, in 2012 they reported revenue of 413.26M to reporting 81.46B in 2022. In 4 years from 2012 to 2015 the average revenue growth rate was 143.73%, 2016 to 2019 averaging 59.51%. Based on this particular calculation it shows an average revenue growth rate of 47.89% at the end of 2023. Currently, it is suggested to hold Tesla stock. This tells me that it is projected to grow over the next year. By my calculations, I project that Tesla's revenue growth will be 41.21%, resulting at 115.03B in revenue, that would be a 33.57B change in just one year. Over three years I see about a 47.29% increase in revenue growth rate.
Directions:
In your response to your peer discussion post above, be sure to address the following:
- Explain whether you agree with your peer's assumptions for revenue growth rate and/or gross profit margin and why.
- Explain other possible projections for the future revenue growth rate and the gross profit margin.
Step by Step Solution
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Step: 1
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