WallStSmart

Huazhu Group Ltd (HTHT)vsTesla Inc (TSLA)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Tesla Inc generates 287% more annual revenue ($97.88B vs $25.31B). HTHT leads profitability with a 20.1% profit margin vs 4.0%. HTHT appears more attractively valued with a PEG of 0.27. HTHT earns a higher WallStSmart Score of 80/100 (B+).

HTHT

Strong Buy

80

out of 100

Grade: B+

Growth: 8.7Profit: 8.5Value: 8.7Quality: 3.0
Piotroski: 5/9Altman Z: 0.92

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

HTHTUndervalued (+53.1%)

Margin of Safety

+53.1%

Fair Value

$113.56

Current Price

$51.86

$61.70 discount

UndervaluedFair: $113.56Overvalued
TSLASignificantly Overvalued (-46.5%)

Margin of Safety

-46.5%

Fair Value

$260.51

Current Price

$381.63

$121.12 premium

UndervaluedFair: $260.51Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

HTHT6 strengths · Avg: 9.2/10
PEG RatioValuation
0.2710/10

Growing faster than its price suggests

Return on EquityProfitability
40.6%10/10

Every $100 of equity generates 41 in profit

EPS GrowthGrowth
2217.0%10/10

Earnings expanding 2217.0% YoY

Profit MarginProfitability
20.1%9/10

Keeps 20 of every $100 in revenue as profit

Operating MarginProfitability
29.1%8/10

Strong operational efficiency at 29.1%

Free Cash FlowQuality
$3.15B8/10

Generating 3.2B in free cash flow

TSLA4 strengths · Avg: 8.8/10
Market CapQuality
$1.43T10/10

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

HTHT3 concerns · Avg: 2.3/10
Price/BookValuation
8.5x4/10

Trading at 8.5x book value

Altman Z-ScoreHealth
0.922/10

Distress zone — elevated risk

Debt/EquityHealth
3.131/10

Elevated debt levels

TSLA4 concerns · Avg: 3.3/10
Price/BookValuation
17.4x4/10

Trading at 17.4x 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 : HTHT

The strongest argument for HTHT centers on PEG Ratio, Return on Equity, EPS Growth. Profitability is solid with margins at 20.1% and operating margin at 29.1%. PEG of 0.27 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 : HTHT

The primary concerns for HTHT are Price/Book, Altman Z-Score, Debt/Equity. Debt-to-equity of 3.13 is elevated, increasing financial risk.

Bear Case : TSLA

The primary concerns for TSLA are Price/Book, Return on Equity, Profit Margin. A P/E of 343.8x leaves little room for execution misses. Thin 4.0% margins leave little buffer for downturns.

Key Dynamics to Monitor

HTHT profiles as a mature 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.

HTHT generates stronger free cash flow (3.2B), providing more financial flexibility.

Bottom Line

HTHT scores higher overall (80/100 vs 33/100), backed by strong 20.1% margins. Both earn "Strong 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.

Huazhu Group Ltd

CONSUMER CYCLICAL · LODGING · China

Huazhu Group Limited, develops leased and owned, managed and franchised hotels mainly in the People's Republic of China. The company is headquartered in Shanghai, the People's Republic of China.

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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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