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Comment by jedberg

1 day ago

For comparison, GM brought in $1.3B on $48B.

and Tesla is valued at over 21x more than GM

  • Sorry, I lost the thread - GM looks twice as profitable, the same profit on half the revenue

    How does that justify Tesla's valuation?

    Is it based on the idea that the margin can be improved?

    • > Sorry, I lost the thread - GM looks twice as profitable

      You got it reversed.

      For Q3'2025, GM net income $1.3B on $48B revenue (down 0.3% YoY). Tesla, in contrast, generated $1.5B income on $28B revenue (up 12% YoY).

      GM's income was down 56.6% while Tesla's was down 37%.

      GM had higher operating income than Tesla, however. Explained by Tesla's more aggressive investment in R&D and AI.

      1 reply →

    • It's based on "Tesla shareholders want the stock to live in a parallel universe".