Tesla's fundamental outlook is increasingly bifurcated: near-term automotive profitability is strained by price cuts and margin compression, with gross margin down to 16.8% in 2026Q2 from 19.8% in 2024Q3, while the company pivots toward AI and robotics, evidenced by a capex surge to $5.8B (20.5% of revenue) in 2026Q2.
Price trend, volume and key moving averages
Start with the evidence for owning the stock and the risks that can break the thesis.
Revenue growth has stalled and margins have compressed, with gross margin down to 16.8% in 2026Q2 from 19.8% in 2024Q3, and operating margin falling to 1.4% as R&D and SG&A expenses outpaced revenue growth.
Tesla is positioned as a leader in AI and robotics, with potential massive revenue from robotaxis and the Optimus humanoid robot, which could make current stock prices appear undervalued.
The energy storage segment is a significant value driver, showing consistent growth and high margins, with strong demand from utility customers and AI data center operators.
Tesla's gross margins rebounded to 21.1% in Q1 2026, reflecting effective cost management while scaling operations and reporting increased revenue and free cash flow.
Tesla faces fierce competition, particularly from Chinese manufacturers like BYD, which has surpassed Tesla in EV sales, and established automakers launching competitive EVs at lower prices.
Projected capital expenditures for AI infrastructure could reach $25 billion in 2026, raising concerns about the execution risks associated with developing robotaxis and humanoid robots.
Tesla is under investigation by the NHTSA for its FSD system, and a negative outcome could severely impact its valuation narrative related to AI.
Trailing total returns as of 11/7/2026, which may include dividends or other distributions. Benchmark is S&P 500 (^GSPC).
Check whether operating performance supports the current valuation.
Recent results and news deserve attention only when they alter the forward view.
| Quarter | EPS (Act vs Est) | Revenue (Act vs Est) |
|---|---|---|
Q4 2026Latest Oct 21, 2026 | $0.48+5.5% vs $0.46 | $28.0B-0.0% vs $28.1B |
Q3 2026 Jul 22, 2026 | $0.33-38.1% vs $0.53 | $28.2B+6.9% vs $26.4B |
Q2 2026 Apr 22, 2026 | $0.41+15.9% vs $0.35 | $22.4B+1.3% vs $22.1B |
Q1 2026 Jan 28, 2026 | $0.50+9.9% vs $0.45 | $24.9B+0.5% vs $24.8B |
Elon Musk currently controls roughly 20% of Tesla's voting power. A potential merger with SpaceX could lend him majority control.
Musk is ending the Cybertruck. Here is what that means for a retiree holding 1,000 Tesla shares bought at $197.
Artificial intelligence (AI) stocks are plunging following the results of the midterm elections.
Tesla shares surged the day Musk signaled the end of his polarizing truck, but the real story sits in Texas, where a driverless bet faces regulators, batteries, and a stock priced for perfection. Is the rally built on anything solid?
Benchmark TSLA against direct peers instead of judging its metrics in isolation.
Key metrics vs top competitors for Tesla, Inc. (TSLA)
| Company | Price | Market Cap | P/E Ratio | Rev Growth (1Y) | Net Margin | ROE | Div Yield |
|---|---|---|---|---|---|---|---|
| $358.22 | $1.41T | 331.69 | -2.93% | 4% | 4.85% | — | |
| $86.16 | $77.93B | 26.35 | -1.29% | 2.1% | 6.13% | 0.78% | |
| $12.44 | $49.61B | -6.04 | 1.23% | -4.17% | -21.33% | 6.04% | |
| $13.61 | $16.52B | -4.43 | 8.39% | -45.88% | -59.79% | — | |
| $3.29 | $1.05B | -0.28 | 67.58% | -263.72% | -254.84% | — | |
| $3.39 | $7.99B | -3.41 | 29.47% | -23.75% | -230.85% | — |
Tesla, Inc. (TSLA) vs competitors — business, growth, and fundamentals comparison against the closest industry rivals.
Verify the primary filings, follow material updates, and answer the remaining questions.
Tesla, Inc. (TSLA) SEC filings — annual & quarterly reports (10-K, 10-Q)
Oct 21, 2026·SEC
Oct 2, 2026·SEC
Sep 29, 2026·SEC
Get notified when TSLA posts new earnings or crosses analyst targets
Free. No account needed. Unsubscribe any time.
Tesla, Inc. (TSLA) stock FAQ — growth, dividends, profitability & financials explained
Tesla, Inc. (TSLA) reported $103.57B in revenue over the trailing twelve months. Revenue was $94.83B in fiscal year 2025. That is 129899900% more than the $0.1M of fiscal year 2007.
Tesla, Inc. (TSLA) revenue fell by 2.9% in fiscal year 2025, compared with the prior fiscal year.
Yes. Tesla, Inc. (TSLA) earned $3.22B in net income over the trailing twelve months (a 3.1% net margin).
Tesla, Inc. (TSLA) had a return on equity (ROE) of 4.8% in fiscal year 2025. That is below the market's typical 10-15%.
Tesla, Inc. (TSLA) generated $3.30B in free cash flow over the trailing twelve months.
