WallStSmart

AutoNation Inc (AN)vsTesla Inc (TSLA)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Tesla Inc generates 256% more annual revenue ($97.88B vs $27.49B). TSLA leads profitability with a 4.0% profit margin vs 2.5%. AN appears more attractively valued with a PEG of 0.74. AN earns a higher WallStSmart Score of 63/100 (C+).

AN

Buy

63

out of 100

Grade: C+

Growth: 5.3Profit: 6.0Value: 8.7Quality: 5.3
Piotroski: 3/9Altman Z: 3.01

TSLA

Avoid

33

out of 100

Grade: F

Growth: 6.7Profit: 4.0Value: 2.0Quality: 7.5
Piotroski: 3/9Altman Z: 2.45
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ANUndervalued (+15.1%)

Margin of Safety

+15.1%

Fair Value

$244.66

Current Price

$205.29

$39.37 discount

UndervaluedFair: $244.66Overvalued
TSLASignificantly Overvalued (-57.7%)

Margin of Safety

-57.7%

Fair Value

$261.17

Current Price

$411.79

$150.62 premium

UndervaluedFair: $261.17Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

AN5 strengths · Avg: 9.0/10
P/E RatioValuation
11.1x10/10

Attractively priced relative to earnings

Altman Z-ScoreHealth
3.0110/10

Safe zone — low bankruptcy risk

Return on EquityProfitability
29.3%9/10

Every $100 of equity generates 29 in profit

PEG RatioValuation
0.748/10

Growing faster than its price suggests

EPS GrowthGrowth
31.5%8/10

Earnings expanding 31.5% YoY

TSLA4 strengths · Avg: 8.8/10
Market CapQuality
$1.47T10/10

Mega-cap, among the largest globally

Debt/EquityHealth
0.109/10

Conservative balance sheet, low leverage

Revenue GrowthGrowth
15.8%8/10

15.8% revenue growth

Free Cash FlowQuality
$1.44B8/10

Generating 1.4B in free cash flow

Areas to Watch

AN4 concerns · Avg: 2.8/10
Profit MarginProfitability
2.5%3/10

2.5% margin — thin

Operating MarginProfitability
4.7%3/10

Operating margin of 4.7%

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Revenue GrowthGrowth
-2.1%2/10

Revenue declined 2.1%

TSLA4 concerns · Avg: 3.3/10
Price/BookValuation
18.8x4/10

Trading at 18.8x book value

Return on EquityProfitability
4.9%3/10

ROE of 4.9% — below average capital efficiency

Profit MarginProfitability
4.0%3/10

4.0% margin — thin

Operating MarginProfitability
4.2%3/10

Operating margin of 4.2%

Comparative Analysis Report

WallStSmart Research

Bull Case : AN

The strongest argument for AN centers on P/E Ratio, Altman Z-Score, Return on Equity. PEG of 0.74 suggests the stock is reasonably priced for its growth.

Bull Case : TSLA

The strongest argument for TSLA centers on Market Cap, Debt/Equity, Revenue Growth. Revenue growth of 15.8% demonstrates continued momentum.

Bear Case : AN

The primary concerns for AN are Profit Margin, Operating Margin, Piotroski F-Score. Thin 2.5% margins leave little buffer for downturns.

Bear Case : TSLA

The primary concerns for TSLA are Price/Book, Return on Equity, Profit Margin. A P/E of 358.6x leaves little room for execution misses. Thin 4.0% margins leave little buffer for downturns.

Key Dynamics to Monitor

AN profiles as a value stock while TSLA is a growth play — different risk/reward profiles.

TSLA carries more volatility with a beta of 1.92 — expect wider price swings.

TSLA is growing revenue faster at 15.8% — sustainability is the question.

TSLA generates stronger free cash flow (1.4B), providing more financial flexibility.

Bottom Line

AN scores higher overall (63/100 vs 33/100). Both earn "Buy" and "Avoid" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

AutoNation Inc

CONSUMER CYCLICAL · AUTO & TRUCK DEALERSHIPS · USA

AutoNation, Inc. is an automobile retailer in the United States. The company is headquartered in Fort Lauderdale, Florida.

Tesla Inc

CONSUMER CYCLICAL · AUTO MANUFACTURERS · USA

Tesla, Inc. is an American electric vehicle and clean energy company based in Palo Alto, California. Tesla's current products include electric cars, battery energy storage from home to grid-scale, solar panels and solar roof tiles, as well as other related products and services. In 2020, Tesla had the highest sales in the plug-in and battery electric passenger car segments, capturing 16% of the plug-in market (which includes plug-in hybrids) and 23% of the battery-electric (purely electric) market. Through its subsidiary Tesla Energy, the company develops and is a major installer of solar photovoltaic energy generation systems in the United States. Tesla Energy is also one of the largest global suppliers of battery energy storage systems, with 3 GWh of battery storage supplied in 2020.

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