This chart tells a pretty wild story. Among the world’s trillion-dollar companies, most trade at P/E ratios between roughly 15 and 45. Then there’s Tesla, sitting at an eye-popping 358 P/E ratio, towering over every other company on the list.
The market is valuing Tesla not for what it earns today, but for massive future growth that may or may not materialize. Compared to companies like Apple, Microsoft, Amazon, and Nvidia, Tesla’s valuation looks less like a normal stock and more like pure investor optimism on steroids.
Do you think this is sustainable?
Company P/E Ratio. Market Cap
Tesla 358.1 $1.61 trillion
Broadcom 81.3 $2.04 trillion
Walmart 47.6 $1.04 trillion
NVIDIA 43.7 $3.23 trillion
Apple 35.4 $4.31 trillion
Amazon 32.1 $2.93 trillion
TSMC 30.9 $1.90 trillion
Alphabet 30.3 $4.86 trillion
Microsoft 24.6 $3.08 trillion
Meta 21.8 $1.55 trillion
Saudi Aramco. 15.6 $2.00 trillion
Berkshire Hathaway 14.2 $1.03 trillion
Posted by DougA8060
8 Comments
It is a meme stock. They can close all the business tomorrow and be valued at 10 trillion
Tesla is a meme, but the way the market is moving AMD may be joining this list soon with an even worse PE.
Everyone knows it is a meme stock but the market can stay irrational longer than you can stay solvent.
You’ll never convince me Tesla’s share price isnt being manipulated by state level actors.
Just want to add that, just like AMD, AVGO has an inflated P/E ratio due to amoritization from their acquisition of VMWare. Not sure how much of it still shows up on the financials but it was a huge thing when both AVGO and AMD had 100-200 P/E ratios the past few years before the big big run-up.
TSLA is my only 20x. Too bad that I only have a few left after I sold a few years ago.
off a couple trillion on nvda not a biggie
Your NVDA number is wrong – it’s 5.23 trillion market cap not 3.23