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Fallacy Alarm

What is a fair P/E ratio for Tesla?

Earnings growth and earnings resilience

Rene Bruentrup's avatar
Rene Bruentrup
Jan 03, 2023
∙ Paid

The Relevance of P/E for Tesla

For most of its history, TSLA 0.00%↑was loss making, which made it challenging to value. Unprofitable growth companies need to be assessed differently from those that have proven their business model by achieving profitability. The essence of growth investing is to figure out a) the point in time when the company will breakeven and b)…

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