Stock Analysis on Net
Stock Analysis on Net
Microsoft Excel LibreOffice Calc

Tesla Inc. (NASDAQ:TSLA)

Analysis of Profitability Ratios

Beginner level

Profitability ratios measure the company’s ability to generate profitable sales from its resources (assets).

Profitability Ratios (Summary)

Tesla Inc., profitability ratios

Microsoft Excel LibreOffice Calc
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Return on Sales
Gross profit margin 16.56% 18.83% 18.90% 22.85% 22.82%
Operating profit margin -0.28% -1.81% -13.88% -9.53% -17.71%
Net profit margin -3.51% -4.55% -16.68% -9.64% -21.96%
Return on Investment
Return on equity (ROE) -13.03% -19.83% -46.29% -14.20% -81.61%
Return on assets (ROA) -2.51% -3.28% -6.84% -2.98% -10.98%

Based on: 10-K (filing date: 2020-02-13), 10-K (filing date: 2019-02-19), 10-K (filing date: 2018-02-23), 10-K (filing date: 2017-03-01), 10-K (filing date: 2016-02-24).

Profitability ratio Description The company
Gross profit margin Gross profit margin indicates the percentage of revenue available to cover operating and other expenditures. Tesla Inc.’s gross profit margin ratio deteriorated from 2017 to 2018 and from 2018 to 2019.
Operating profit margin A profitability ratio calculated as operating income divided by revenue. Tesla Inc.’s operating profit margin ratio improved from 2017 to 2018 and from 2018 to 2019.
Net profit margin An indicator of profitability, calculated as net income divided by revenue. Tesla Inc.’s net profit margin ratio improved from 2017 to 2018 and from 2018 to 2019.
Profitability ratio Description The company
ROE A profitability ratio calculated as net income divided by shareholders’ equity. Tesla Inc.’s ROE improved from 2017 to 2018 and from 2018 to 2019.
ROA A profitability ratio calculated as net income divided by total assets. Tesla Inc.’s ROA improved from 2017 to 2018 and from 2018 to 2019.

Gross Profit Margin

Tesla Inc., gross profit margin calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Selected Financial Data (US$ in millions)
Gross profit 4,069  4,042  2,222  1,599  924 
Revenues 24,578  21,461  11,759  7,000  4,046 
Profitability Ratio
Gross profit margin1 16.56% 18.83% 18.90% 22.85% 22.82%
Benchmarks
Gross Profit Margin, Competitors2
General Motors Co. 9.82% 9.31% 13.92% 13.08% 12.06%

Based on: 10-K (filing date: 2020-02-13), 10-K (filing date: 2019-02-19), 10-K (filing date: 2018-02-23), 10-K (filing date: 2017-03-01), 10-K (filing date: 2016-02-24).

1 2019 Calculation
Gross profit margin = 100 × Gross profit ÷ Revenues
= 100 × 4,069 ÷ 24,578 = 16.56%

2 Click competitor name to see calculations.

Profitability ratio Description The company
Gross profit margin Gross profit margin indicates the percentage of revenue available to cover operating and other expenditures. Tesla Inc.’s gross profit margin ratio deteriorated from 2017 to 2018 and from 2018 to 2019.

Operating Profit Margin

Tesla Inc., operating profit margin calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Selected Financial Data (US$ in millions)
Loss from operations (69) (388) (1,632) (667) (717)
Revenues 24,578  21,461  11,759  7,000  4,046 
Profitability Ratio
Operating profit margin1 -0.28% -1.81% -13.88% -9.53% -17.71%
Benchmarks
Operating Profit Margin, Competitors2
General Motors Co. 4.47% 3.34% 7.51% 6.09% 3.36%
Operating Profit Margin, Sector
Automobiles & Parts 3.67% 2.63% 5.77% 5.42% 2.79%
Operating Profit Margin, Industry
Consumer Goods 13.12% 13.83% 15.13% 14.25% 13.33%

Based on: 10-K (filing date: 2020-02-13), 10-K (filing date: 2019-02-19), 10-K (filing date: 2018-02-23), 10-K (filing date: 2017-03-01), 10-K (filing date: 2016-02-24).

1 2019 Calculation
Operating profit margin = 100 × Loss from operations ÷ Revenues
= 100 × -69 ÷ 24,578 = -0.28%

2 Click competitor name to see calculations.

Profitability ratio Description The company
Operating profit margin A profitability ratio calculated as operating income divided by revenue. Tesla Inc.’s operating profit margin ratio improved from 2017 to 2018 and from 2018 to 2019.

Net Profit Margin

Tesla Inc., net profit margin calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Selected Financial Data (US$ in millions)
Net loss attributable to common stockholders (862) (976) (1,961) (675) (889)
Revenues 24,578  21,461  11,759  7,000  4,046 
Profitability Ratio
Net profit margin1 -3.51% -4.55% -16.68% -9.64% -21.96%
Benchmarks
Net Profit Margin, Competitors2
General Motors Co. 5.49% 6.02% -2.90% 6.01% 6.64%
Net Profit Margin, Sector
Automobiles & Parts 3.99% 4.56% -4.01% 5.34% 5.87%
Net Profit Margin, Industry
Consumer Goods 8.77% 11.59% 8.53% 12.03% 10.25%

Based on: 10-K (filing date: 2020-02-13), 10-K (filing date: 2019-02-19), 10-K (filing date: 2018-02-23), 10-K (filing date: 2017-03-01), 10-K (filing date: 2016-02-24).

1 2019 Calculation
Net profit margin = 100 × Net loss attributable to common stockholders ÷ Revenues
= 100 × -862 ÷ 24,578 = -3.51%

2 Click competitor name to see calculations.

Profitability ratio Description The company
Net profit margin An indicator of profitability, calculated as net income divided by revenue. Tesla Inc.’s net profit margin ratio improved from 2017 to 2018 and from 2018 to 2019.

Return on Equity (ROE)

Tesla Inc., ROE calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Selected Financial Data (US$ in millions)
Net loss attributable to common stockholders (862) (976) (1,961) (675) (889)
Stockholders’ equity 6,618  4,923  4,237  4,753  1,089 
Profitability Ratio
ROE1 -13.03% -19.83% -46.29% -14.20% -81.61%
Benchmarks
ROE, Competitors2
General Motors Co. 16.11% 20.62% -11.04% 21.51% 24.30%
ROE, Sector
Automobiles & Parts 12.13% 16.07% -14.85% 18.01% 21.48%
ROE, Industry
Consumer Goods 26.80% 34.61% 25.11% 34.45% 30.51%

Based on: 10-K (filing date: 2020-02-13), 10-K (filing date: 2019-02-19), 10-K (filing date: 2018-02-23), 10-K (filing date: 2017-03-01), 10-K (filing date: 2016-02-24).

1 2019 Calculation
ROE = 100 × Net loss attributable to common stockholders ÷ Stockholders’ equity
= 100 × -862 ÷ 6,618 = -13.03%

2 Click competitor name to see calculations.

Profitability ratio Description The company
ROE A profitability ratio calculated as net income divided by shareholders’ equity. Tesla Inc.’s ROE improved from 2017 to 2018 and from 2018 to 2019.

Return on Assets (ROA)

Tesla Inc., ROA calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Selected Financial Data (US$ in millions)
Net loss attributable to common stockholders (862) (976) (1,961) (675) (889)
Total assets 34,309  29,740  28,655  22,664  8,092 
Profitability Ratio
ROA1 -2.51% -3.28% -6.84% -2.98% -10.98%
Benchmarks
ROA, Competitors2
General Motors Co. 2.95% 3.53% -1.82% 4.25% 4.98%
ROA, Sector
Automobiles & Parts 2.24% 2.74% -2.42% 3.58% 4.34%
ROA, Industry
Consumer Goods 6.06% 8.09% 5.90% 8.70% 8.03%

Based on: 10-K (filing date: 2020-02-13), 10-K (filing date: 2019-02-19), 10-K (filing date: 2018-02-23), 10-K (filing date: 2017-03-01), 10-K (filing date: 2016-02-24).

1 2019 Calculation
ROA = 100 × Net loss attributable to common stockholders ÷ Total assets
= 100 × -862 ÷ 34,309 = -2.51%

2 Click competitor name to see calculations.

Profitability ratio Description The company
ROA A profitability ratio calculated as net income divided by total assets. Tesla Inc.’s ROA improved from 2017 to 2018 and from 2018 to 2019.