Proceedings of the 2025 International Conference on Financial Risk and Investment Management (ICFRIM 2025)

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Value Investing in the EV Industry: A Case Study of Tesla

Authors
Ruiyang Ding1, *
1College of Public Administration and Law, Hunan Agricultural University, Changsha, 410125, China
*Corresponding author. Email: DingRuiyang@stu.hunau.edu.cn
Corresponding Author
Ruiyang Ding
Available Online 3 July 2025.
DOI
10.2991/978-94-6463-748-9_101How to use a DOI?
Keywords
EV Industry; Value Investing; Case Study
Abstract

This study examines Tesla Inc. Through the lens of value investing principles, analyzing its long-term investment potential in the rapidly evolving electric vehicle and sustainable energy markets. Through SWOT analysis and key financial metrics evaluation, the research reveals Tesla’s achievement of 1.809 million vehicle deliveries and $96.77 billion revenue in 2023, while maintaining robust liquidity management with $29.094 billion in cash and investments. Despite profitability pressure from intense competition leading to declining automotive gross margins, Tesla is successfully transitioning from a pure EV manufacturer to a technology-driven energy company, supported by significant growth in energy storage business and service revenue. Looking forward, Tesla’s value will primarily depend on the successful launch of its next-generation platform, expansion of energy business, and commercialization of AI and autonomous driving technologies. While facing near-term challenges in market competition and macroeconomic uncertainties, Tesla’s leading position in EVs and sustainable energy, coupled with continuous improvements in technological innovation and operational efficiency, underpins its long-term investment value, offering a cautiously optimistic outlook for value investors in the sustainable energy sector.

Copyright
© 2025 The Author(s)
Open Access
Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.

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Volume Title
Proceedings of the 2025 International Conference on Financial Risk and Investment Management (ICFRIM 2025)
Series
Advances in Economics, Business and Management Research
Publication Date
3 July 2025
ISBN
978-94-6463-748-9
ISSN
2352-5428
DOI
10.2991/978-94-6463-748-9_101How to use a DOI?
Copyright
© 2025 The Author(s)
Open Access
Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.

Cite this article

risenwbib
TY  - CONF
AU  - Ruiyang Ding
PY  - 2025
DA  - 2025/07/03
TI  - Value Investing in the EV Industry: A Case Study of Tesla
BT  - Proceedings of the 2025 International Conference on Financial Risk and Investment Management (ICFRIM 2025)
PB  - Atlantis Press
SP  - 929
EP  - 937
SN  - 2352-5428
UR  - https://doi.org/10.2991/978-94-6463-748-9_101
DO  - 10.2991/978-94-6463-748-9_101
ID  - Ding2025
ER  -