Market to book ratio tesla

A ratio showing how many times a companys inventory is sold and replaced over a period. The current price to book ratio for tesla as of april 15, 2020 is 17. The book value is calculated by subtracting a companys liabilities from its assets. As such, it represents what debtholders or investors would receive if the company liquidated its physical assets assuming that it could get book value for all of those assets. Learn about tsla with our data and independent analysis including price, star rating, valuation, dividends, and financials. Despite ford and gm selling millions more cars and generating billions more in profits, tesla s market cap is already larger than fords and has rivaled. Market capitalization of auto manufacturers industry is. A higher pe ratio means that investors are paying more for each unit of net income, making it more expensive to purchase than a stock with a lower pe ratio. Historical price to book ratio values for tesla tsla over the last 10 years.

Indepth view of key statistics and finances for tesla, inc. This is the financialssite for the company tesla on markets insider. Value investors often search for stocks with relatively low pe ratios as a means for identifying cheaper stocks that the market. Tesla inc tsla fundamental analysis, stock research. Stock 2 has a lower market cap than its book value of equity, so its market to book ratio is 0. How to use the price to book ratio the price to book ratio is a useful metric for finding value but its not without pitfalls. Forcasts, revenue, earnings, analysts expectations, ratios for tesla, inc. The company manufactures electric vehicles since 2003 tesla. The price to book ratio pb can be used for the company with positive book values and negative earnings because negative earnings make price to earnings ratio pe ineffective. For financial companies such as banks and insurance companies, their assets may be reported in current market value of the assets owned. Market vs book value wacc definition, benefit, disadvantage. So what will protect tesla if the market is to crash tomorrow. You can also select from a set of available indicators by clicking on the link to the right.

Wondering if there was sufficient demand for tesla electric cars, in a market that otherwise didnt seem to want them, to. Its book value per share for the quarter that ended in dec. Tsla stock tesla stock price today markets insider. Tesla inc price to book ratio pb ratios, tsla valuation ranking. The debtequity ratio can be defined as a measure of a companys financial leverage calculated by dividing its longterm debt by stockholders equity. Mar 20, 2020 the pricetobook pb ratio has been favored by value investors for decades and is widely used by market analysts. The price to book ratio for the last quarter was 16. You can always change your preferences or unsubscribe and your contact information is covered by. Please note, not all equities are covered by this module due to inconsistencies in global equity categorizations.

Stock 1 has a high market capitalization relative to its net book value of assets, so its price to book ratio is 3. This metric is considered a valuation metric that confirms whether the sales of a company justifies the stock price. Market value is the current stock price times all outstanding shares, net book value is all assets minus all liabilities. Book value is defined as total assets minus liabilities, preferred stocks, and intangible assets. Download the free template enter your name and email in. Tesla stock gets an upgrade at jefferies jefferies analyst philippe houchois upgraded tesla inc. During the past 12 months, teslas average book value per share growth rate was 28.

Specifically, it compares the companys stock price to. Find market predictions, tsla financials and market news. For a security, the priceearnings ratio is given by dividing the last sale price by the aver. The market to book ratio, or price to book ratio, is used to compare the current market value or price of a business to its book value of equity on the balance sheet. The book to market ratio is used to find the value of a company by comparing the book value of a firm to its market value. Tesla price to book ratio 20092019 tsla macrotrends. Like the booktomarket ratio, it seeks to evaluate whether the stock a company is over or. You can calculate the market to book ratio by dividing a companys market cap by its book value. During the past 3 years, the average book value per share growth rate was 7. That gave tesla an eyewatering bs to book ratio of 60. It also provides vehicle service centers, supercharger. The markettobook ratio, also called the pricetobook ratio, is the reverse of the booktomarket ratio. Price to book value is a valuation ratio that is measured by stock price book value per share.

It indicates the level of safety associated with each common share after removing the effects of liabilities. Total shareholders equity common shares outstanding. How to use the priceto book ratio the priceto book ratio is a useful metric for finding value but its not without pitfalls. Start a 14day free trial to morningstar premium to unlock our take on tsla. The current price to book ratio for tesla as of april 10, 2020 is. And the lowest ratio of tesla is at least twice as high as the benchmark. Tesla doesnt have a priceearnings ratio since the earnings part of the equation right now is zero and we know from our high school math class that you cant have a zero in the denominator.

The pb ratio compares a companys market capitalization, or market value, to its book value. Pe ratio and the basic science of stock valuation market. The market to book ratio is a valuation metric used to compare the price of a stock to its book value. I would like to receive nasdaq communications related to products, industry news and events. The price to sales ratio ps ratio is calculated by taking the stock price revenue per share ttm. Nasdaq gs including stock price, stock chart, company news, key statistics, fundamentals and company profile. A higher priceto book ratio makes a stock less attractive to investors seeking stocks with lower market values per dollar of equity on the balance sheet. Price to book ratio market to book value pb formula m.

The price to book ratio, also called the pb or market to book ratio, is a financial valuation tool used to evaluate whether the stock a company is over or undervalued by comparing the price of all outstanding shares with the net assets of the company. Since longterm assets are held on the balance sheet at the original cost, if market prices of those assets increases or decreases dramatically, book value can differ dramatically from market value. Some companies even have negative equity, so the pricetobook ratio cannot be applied to them. Vienna including stock price, stock chart, company news, key statistics, fundamentals and company profile. The book value is essentially the tangible accounting value of a firm compared to the market value that is shown. The difference between pricetotangible book and priceto book ratio is that book value other than intangibles are used in the calculation. Market capitalization of auto manufacturers industry is at this time estimated at about 257. Current and historical debt to equity ratio values for tesla tsla over the last 10 years. During the past years, the highest pb ratio of tesla was 66. The purpose of this report is to conduct a thorough market analysis for tesla motors. According to nasdaqs homepage for retail investors. The current price to book ratio for general motors as of april 07, 2020 is 0.

Tesla book value per share analysis book value per share bs is can be calculated by subtracting liabilities from assets, and then dividing it by the total number of currently outstanding shares. View tsla business summary and other industry information. The ratio of market capitalization to book value per share for tesla is about 14,602,739,726 tesla is rated below average in market capitalization category among related companies. Tesla exhibits an implied growth ratio which is less than the industry average for motor vehicles stocks listed on the nasdaq. Whether youre looking for analyst ratings, corporate buybacks, dividends, earnings, economic reports, financials, insider trades, ipos, sec filings or stock splits, marketbeat has the objective. Tsla pb ratio explanation unlike valuation ratios relative to the earning power such as pe ratio, ps ratio or price to freecashflow, the price to book ratio measures the valuation of the. Looking at tesla from fundamental and technical analysis.

During the past 5 years, the average book value per share growth rate was 39. Tsla pb ratio explanation unlike valuation ratios relative to the earning power such as pe ratio, ps ratio or pricetofreecashflow, the priceto book ratio measures the valuation of the. The market capitalization companys value is its share price multiplied by the number of outstanding shares. The pricetotangible book value ratio excludes the book value of a companys intellectual property and other intangible assets, such as patents and goodwill. Historical price to book ratio values for general motors gm over the last 10 years. View live tesla chart to track its stocks price action. There isnt necesarily an optimum ps ratio, since different industries will have different ranges of ps ratios. Tesla debt to equity ratio 20092019 tsla macrotrends. The market to book ratio is a metric that compares the price of a stock to its. Tsla pe ratio priceearnings ratio is a widely used stock evaluation measure.

Tesla market capitalization vs book value per share tsla. General motors investors have watched from the sidelines while tesla has captured all of the market headlines and gains in. Book value is defined as total assets minus liabilities, preferred. Pe ratio ttm is a widely used stock evaluation measure. The price to book ratio or pb is calculated as market capitalization divided by its book value. The aim of this market analysis is to recommend tesla motors the best suit international market. Ps ratio an rationale for the ps ratio is that sales, as the top line in an income statement, are generally less subject to distortion or manipulation than other fundamentals such as eps or book value. Tsla, including valuation measures, fiscal year financial statistics, trading record, share statistics and more. Mar 31, 2020 the ratio of market capitalization to book value per share for tesla is about 14,602,739,726 tesla is rated below average in market capitalization category among related companies. The amount of equity available to shareholders expressed on a per common share basis. Book value wacc weighted average cost of capital wacc is defined as the weighted average of cost of each component of capital equity, debt, preference shares etc where the weights used are target capital structure weights expressed in terms of market values. Tesla inc s current and past price to book ratio pb ratios over the last year csimarket. Tsla fundamental charts pe ratio ttm fundamental charts the style scores are a complementary set of indicators to use alongside the.