Stock Analysis on Net

Tesla Inc. (NASDAQ:TSLA)

Analysis of Solvency Ratios 

Microsoft Excel

Solvency Ratios (Summary)

Tesla Inc., solvency ratios

Microsoft Excel
Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017
Debt Ratios
Debt to equity 0.23 0.53 2.03 2.43 2.43
Debt to equity (including operating lease liability) 0.29 0.60 2.21 2.43 2.43
Debt to capital 0.18 0.34 0.67 0.71 0.71
Debt to capital (including operating lease liability) 0.23 0.37 0.69 0.71 0.71
Debt to assets 0.11 0.22 0.39 0.40 0.36
Debt to assets (including operating lease liability) 0.14 0.25 0.43 0.40 0.36
Financial leverage 2.06 2.35 5.18 6.04 6.76
Coverage Ratios
Interest coverage 18.10 2.54 0.03 -0.52 -3.69
Fixed charge coverage 7.36 1.96 0.40 -0.19 -2.40

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).

Solvency ratio Description The company
Debt to equity ratio A solvency ratio calculated as total debt divided by total shareholders’ equity. Tesla Inc. debt to equity ratio improved from 2019 to 2020 and from 2020 to 2021.
Debt to equity ratio (including operating lease liability) A solvency ratio calculated as total debt (including operating lease liability) divided by total shareholders’ equity. Tesla Inc. debt to equity ratio (including operating lease liability) improved from 2019 to 2020 and from 2020 to 2021.
Debt to capital ratio A solvency ratio calculated as total debt divided by total debt plus shareholders’ equity. Tesla Inc. debt to capital ratio improved from 2019 to 2020 and from 2020 to 2021.
Debt to capital ratio (including operating lease liability) A solvency ratio calculated as total debt (including operating lease liability) divided by total debt (including operating lease liability) plus shareholders’ equity. Tesla Inc. debt to capital ratio (including operating lease liability) improved from 2019 to 2020 and from 2020 to 2021.
Debt to assets ratio A solvency ratio calculated as total debt divided by total assets. Tesla Inc. debt to assets ratio improved from 2019 to 2020 and from 2020 to 2021.
Debt to assets ratio (including operating lease liability) A solvency ratio calculated as total debt (including operating lease liability) divided by total assets. Tesla Inc. debt to assets ratio (including operating lease liability) improved from 2019 to 2020 and from 2020 to 2021.
Financial leverage ratio A solvency ratio calculated as total assets divided by total shareholders’ equity. Tesla Inc. financial leverage ratio decreased from 2019 to 2020 and from 2020 to 2021.

Solvency ratio Description The company
Interest coverage ratio A solvency ratio calculated as EBIT divided by interest payments. Tesla Inc. interest coverage ratio improved from 2019 to 2020 and from 2020 to 2021.
Fixed charge coverage ratio A solvency ratio calculated as earnings before fixed charges and tax divided by fixed charges. Tesla Inc. fixed charge coverage ratio improved from 2019 to 2020 and from 2020 to 2021.

Debt to Equity

Tesla Inc., debt to equity calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017
Selected Financial Data (US$ in millions)
Current portion of debt and finance leases 1,589 2,132 1,785 2,568 797
Current portion of solar bonds and promissory notes issued to related parties 100
Debt and finance leases, net of current portion 5,245 9,556 11,634 9,404 9,418
Total debt 6,834 11,688 13,419 11,971 10,315
 
Stockholders’ equity 30,189 22,225 6,618 4,923 4,237
Solvency Ratio
Debt to equity1 0.23 0.53 2.03 2.43 2.43
Benchmarks
Debt to Equity, Competitors2
Ford Motor Co. 2.85 5.27 4.68 4.29 4.42
General Motors Co. 1.83 2.44 2.47 2.70 2.69
Debt to Equity, Sector
Automobiles & Components 1.84 2.89 3.33 3.40 3.49
Debt to Equity, Industry
Consumer Discretionary 1.59 2.31 2.46 2.40 2.34

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).

1 2021 Calculation
Debt to equity = Total debt ÷ Stockholders’ equity
= 6,834 ÷ 30,189 = 0.23

2 Click competitor name to see calculations.

Solvency ratio Description The company
Debt to equity ratio A solvency ratio calculated as total debt divided by total shareholders’ equity. Tesla Inc. debt to equity ratio improved from 2019 to 2020 and from 2020 to 2021.

Debt to Equity (including Operating Lease Liability)

Tesla Inc., debt to equity (including operating lease liability) calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017
Selected Financial Data (US$ in millions)
Current portion of debt and finance leases 1,589 2,132 1,785 2,568 797
Current portion of solar bonds and promissory notes issued to related parties 100
Debt and finance leases, net of current portion 5,245 9,556 11,634 9,404 9,418
Total debt 6,834 11,688 13,419 11,971 10,315
Operating lease liabilities, current portion 368 286 228
Operating lease liabilities, net of current portion 1,671 1,254 956
Total debt (including operating lease liability) 8,873 13,228 14,603 11,971 10,315
 
Stockholders’ equity 30,189 22,225 6,618 4,923 4,237
Solvency Ratio
Debt to equity (including operating lease liability)1 0.29 0.60 2.21 2.43 2.43
Benchmarks
Debt to Equity (including Operating Lease Liability), Competitors2
Ford Motor Co. 2.87 5.31 4.72 4.29 4.42
General Motors Co. 1.85 2.47 2.50 2.70 2.69
Debt to Equity (including Operating Lease Liability), Sector
Automobiles & Components 1.87 2.93 3.38 3.40 3.49
Debt to Equity (including Operating Lease Liability), Industry
Consumer Discretionary 1.92 2.70 2.71 2.40 2.34

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).

1 2021 Calculation
Debt to equity (including operating lease liability) = Total debt (including operating lease liability) ÷ Stockholders’ equity
= 8,873 ÷ 30,189 = 0.29

2 Click competitor name to see calculations.

Solvency ratio Description The company
Debt to equity ratio (including operating lease liability) A solvency ratio calculated as total debt (including operating lease liability) divided by total shareholders’ equity. Tesla Inc. debt to equity ratio (including operating lease liability) improved from 2019 to 2020 and from 2020 to 2021.

Debt to Capital

Tesla Inc., debt to capital calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017
Selected Financial Data (US$ in millions)
Current portion of debt and finance leases 1,589 2,132 1,785 2,568 797
Current portion of solar bonds and promissory notes issued to related parties 100
Debt and finance leases, net of current portion 5,245 9,556 11,634 9,404 9,418
Total debt 6,834 11,688 13,419 11,971 10,315
Stockholders’ equity 30,189 22,225 6,618 4,923 4,237
Total capital 37,023 33,913 20,037 16,895 14,552
Solvency Ratio
Debt to capital1 0.18 0.34 0.67 0.71 0.71
Benchmarks
Debt to Capital, Competitors2
Ford Motor Co. 0.74 0.84 0.82 0.81 0.82
General Motors Co. 0.65 0.71 0.71 0.73 0.73
Debt to Capital, Sector
Automobiles & Components 0.65 0.74 0.77 0.77 0.78
Debt to Capital, Industry
Consumer Discretionary 0.61 0.70 0.71 0.71 0.70

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).

1 2021 Calculation
Debt to capital = Total debt ÷ Total capital
= 6,834 ÷ 37,023 = 0.18

2 Click competitor name to see calculations.

Solvency ratio Description The company
Debt to capital ratio A solvency ratio calculated as total debt divided by total debt plus shareholders’ equity. Tesla Inc. debt to capital ratio improved from 2019 to 2020 and from 2020 to 2021.

Debt to Capital (including Operating Lease Liability)

Tesla Inc., debt to capital (including operating lease liability) calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017
Selected Financial Data (US$ in millions)
Current portion of debt and finance leases 1,589 2,132 1,785 2,568 797
Current portion of solar bonds and promissory notes issued to related parties 100
Debt and finance leases, net of current portion 5,245 9,556 11,634 9,404 9,418
Total debt 6,834 11,688 13,419 11,971 10,315
Operating lease liabilities, current portion 368 286 228
Operating lease liabilities, net of current portion 1,671 1,254 956
Total debt (including operating lease liability) 8,873 13,228 14,603 11,971 10,315
Stockholders’ equity 30,189 22,225 6,618 4,923 4,237
Total capital (including operating lease liability) 39,062 35,453 21,221 16,895 14,552
Solvency Ratio
Debt to capital (including operating lease liability)1 0.23 0.37 0.69 0.71 0.71
Benchmarks
Debt to Capital (including Operating Lease Liability), Competitors2
Ford Motor Co. 0.74 0.84 0.83 0.81 0.82
General Motors Co. 0.65 0.71 0.71 0.73 0.73
Debt to Capital (including Operating Lease Liability), Sector
Automobiles & Components 0.65 0.75 0.77 0.77 0.78
Debt to Capital (including Operating Lease Liability), Industry
Consumer Discretionary 0.66 0.73 0.73 0.71 0.70

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).

1 2021 Calculation
Debt to capital (including operating lease liability) = Total debt (including operating lease liability) ÷ Total capital (including operating lease liability)
= 8,873 ÷ 39,062 = 0.23

2 Click competitor name to see calculations.

Solvency ratio Description The company
Debt to capital ratio (including operating lease liability) A solvency ratio calculated as total debt (including operating lease liability) divided by total debt (including operating lease liability) plus shareholders’ equity. Tesla Inc. debt to capital ratio (including operating lease liability) improved from 2019 to 2020 and from 2020 to 2021.

Debt to Assets

Tesla Inc., debt to assets calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017
Selected Financial Data (US$ in millions)
Current portion of debt and finance leases 1,589 2,132 1,785 2,568 797
Current portion of solar bonds and promissory notes issued to related parties 100
Debt and finance leases, net of current portion 5,245 9,556 11,634 9,404 9,418
Total debt 6,834 11,688 13,419 11,971 10,315
 
Total assets 62,131 52,148 34,309 29,740 28,655
Solvency Ratio
Debt to assets1 0.11 0.22 0.39 0.40 0.36
Benchmarks
Debt to Assets, Competitors2
Ford Motor Co. 0.54 0.60 0.60 0.60 0.60
General Motors Co. 0.45 0.47 0.45 0.46 0.44
Debt to Assets, Sector
Automobiles & Components 0.45 0.51 0.52 0.53 0.52
Debt to Assets, Industry
Consumer Discretionary 0.37 0.42 0.44 0.46 0.46

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).

1 2021 Calculation
Debt to assets = Total debt ÷ Total assets
= 6,834 ÷ 62,131 = 0.11

2 Click competitor name to see calculations.

Solvency ratio Description The company
Debt to assets ratio A solvency ratio calculated as total debt divided by total assets. Tesla Inc. debt to assets ratio improved from 2019 to 2020 and from 2020 to 2021.

Debt to Assets (including Operating Lease Liability)

Tesla Inc., debt to assets (including operating lease liability) calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017
Selected Financial Data (US$ in millions)
Current portion of debt and finance leases 1,589 2,132 1,785 2,568 797
Current portion of solar bonds and promissory notes issued to related parties 100
Debt and finance leases, net of current portion 5,245 9,556 11,634 9,404 9,418
Total debt 6,834 11,688 13,419 11,971 10,315
Operating lease liabilities, current portion 368 286 228
Operating lease liabilities, net of current portion 1,671 1,254 956
Total debt (including operating lease liability) 8,873 13,228 14,603 11,971 10,315
 
Total assets 62,131 52,148 34,309 29,740 28,655
Solvency Ratio
Debt to assets (including operating lease liability)1 0.14 0.25 0.43 0.40 0.36
Benchmarks
Debt to Assets (including Operating Lease Liability), Competitors2
Ford Motor Co. 0.54 0.61 0.61 0.60 0.60
General Motors Co. 0.45 0.47 0.46 0.46 0.44
Debt to Assets (including Operating Lease Liability), Sector
Automobiles & Components 0.46 0.52 0.53 0.53 0.52
Debt to Assets (including Operating Lease Liability), Industry
Consumer Discretionary 0.45 0.50 0.48 0.46 0.46

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).

1 2021 Calculation
Debt to assets (including operating lease liability) = Total debt (including operating lease liability) ÷ Total assets
= 8,873 ÷ 62,131 = 0.14

2 Click competitor name to see calculations.

Solvency ratio Description The company
Debt to assets ratio (including operating lease liability) A solvency ratio calculated as total debt (including operating lease liability) divided by total assets. Tesla Inc. debt to assets ratio (including operating lease liability) improved from 2019 to 2020 and from 2020 to 2021.

Financial Leverage

Tesla Inc., financial leverage calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017
Selected Financial Data (US$ in millions)
Total assets 62,131 52,148 34,309 29,740 28,655
Stockholders’ equity 30,189 22,225 6,618 4,923 4,237
Solvency Ratio
Financial leverage1 2.06 2.35 5.18 6.04 6.76
Benchmarks
Financial Leverage, Competitors2
Ford Motor Co. 5.30 8.71 7.79 7.14 7.39
General Motors Co. 4.10 5.22 5.46 5.85 6.07
Financial Leverage, Sector
Automobiles & Components 4.07 5.66 6.38 6.44 6.73
Financial Leverage, Industry
Consumer Discretionary 4.27 5.45 5.60 5.21 5.08

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).

1 2021 Calculation
Financial leverage = Total assets ÷ Stockholders’ equity
= 62,131 ÷ 30,189 = 2.06

2 Click competitor name to see calculations.

Solvency ratio Description The company
Financial leverage ratio A solvency ratio calculated as total assets divided by total shareholders’ equity. Tesla Inc. financial leverage ratio decreased from 2019 to 2020 and from 2020 to 2021.

Interest Coverage

Tesla Inc., interest coverage calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017
Selected Financial Data (US$ in millions)
Net income (loss) attributable to common stockholders 5,519 721 (862) (976) (1,961)
Add: Net income attributable to noncontrolling interest 125 141 87 (86) (279)
Add: Income tax expense 699 292 110 58 32
Add: Interest expense 371 748 685 663 471
Earnings before interest and tax (EBIT) 6,714 1,902 20 (342) (1,738)
Solvency Ratio
Interest coverage1 18.10 2.54 0.03 -0.52 -3.69
Benchmarks
Interest Coverage, Competitors2
Ford Motor Co. 10.86 0.32 0.37 4.54 8.19
General Motors Co. 14.39 8.37 10.51 14.05 21.63
Interest Coverage, Sector
Automobiles & Components 12.79 3.33 3.47 5.67 9.17
Interest Coverage, Industry
Consumer Discretionary 10.85 6.41 9.19 9.91 10.44

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).

1 2021 Calculation
Interest coverage = EBIT ÷ Interest expense
= 6,714 ÷ 371 = 18.10

2 Click competitor name to see calculations.

Solvency ratio Description The company
Interest coverage ratio A solvency ratio calculated as EBIT divided by interest payments. Tesla Inc. interest coverage ratio improved from 2019 to 2020 and from 2020 to 2021.

Fixed Charge Coverage

Tesla Inc., fixed charge coverage calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017
Selected Financial Data (US$ in millions)
Net income (loss) attributable to common stockholders 5,519 721 (862) (976) (1,961)
Add: Net income attributable to noncontrolling interest 125 141 87 (86) (279)
Add: Income tax expense 699 292 110 58 32
Add: Interest expense 371 748 685 663 471
Earnings before interest and tax (EBIT) 6,714 1,902 20 (342) (1,738)
Add: Operating lease expense 627 451 426 183 178
Earnings before fixed charges and tax 7,341 2,353 446 (159) (1,560)
 
Interest expense 371 748 685 663 471
Operating lease expense 627 451 426 183 178
Fixed charges 998 1,199 1,111 846 649
Solvency Ratio
Fixed charge coverage1 7.36 1.96 0.40 -0.19 -2.40
Benchmarks
Fixed Charge Coverage, Competitors2
Ford Motor Co. 8.91 0.47 0.57 3.44 5.91
General Motors Co. 9.47 5.79 6.46 8.81 14.40
Fixed Charge Coverage, Sector
Automobiles & Components 8.76 2.60 2.51 4.18 6.58
Fixed Charge Coverage, Industry
Consumer Discretionary 5.42 3.50 4.49 4.89 5.30

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).

1 2021 Calculation
Fixed charge coverage = Earnings before fixed charges and tax ÷ Fixed charges
= 7,341 ÷ 998 = 7.36

2 Click competitor name to see calculations.

Solvency ratio Description The company
Fixed charge coverage ratio A solvency ratio calculated as earnings before fixed charges and tax divided by fixed charges. Tesla Inc. fixed charge coverage ratio improved from 2019 to 2020 and from 2020 to 2021.