Sonic Automotive Inc (SAH)vsTesla Inc (TSLA)
SAH
Sonic Automotive Inc
$61.71
-1.74%
CONSUMER CYCLICAL · Cap: $2.01B
TSLA
Tesla Inc
$343.69
+4.23%
CONSUMER CYCLICAL · Cap: $1.58T
Smart Verdict
WallStSmart Research — data-driven comparison
Tesla Inc generates 570% more annual revenue ($103.57B vs $15.47B). TSLA leads profitability with a 3.1% profit margin vs 1.4%. SAH appears more attractively valued with a PEG of 0.62. SAH earns a higher WallStSmart Score of 61/100 (C+).
SAH
Buy61
out of 100
Grade: C+
TSLA
Avoid24
out of 100
Grade: F
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-21.6%
Fair Value
$50.03
Current Price
$61.71
$11.68 premium
Margin of Safety
-53.0%
Fair Value
$261.23
Current Price
$343.69
$82.46 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Safe zone — low bankruptcy risk
Growing faster than its price suggests
Reasonable price relative to book value
Mega-cap, among the largest globally
Conservative balance sheet, low leverage
Generating 1.5B in free cash flow
Areas to Watch
1.4% margin — thin
Operating margin of 3.4%
Earnings declined 12.3%
Negative free cash flow — burning cash
Trading at 15.2x book value
ROE of 3.6% — below average capital efficiency
3.1% margin — thin
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull Case : SAH
The strongest argument for SAH centers on P/E Ratio, Altman Z-Score, PEG Ratio. PEG of 0.62 suggests the stock is reasonably priced for its growth.
Bull Case : TSLA
The strongest argument for TSLA centers on Market Cap, Debt/Equity, Free Cash Flow.
Bear Case : SAH
The primary concerns for SAH are Profit Margin, Operating Margin, EPS Growth. Debt-to-equity of 4.45 is elevated, increasing financial risk. Thin 1.4% 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 439.4x leaves little room for execution misses. Thin 3.1% margins leave little buffer for downturns.
Key Dynamics to Monitor
TSLA carries more volatility with a beta of 1.92 — expect wider price swings.
SAH is growing revenue faster at 7.6% — sustainability is the question.
TSLA generates stronger free cash flow (1.5B), providing more financial flexibility.
Monitor AUTO & TRUCK DEALERSHIPS industry trends, competitive dynamics, and regulatory changes.
Bottom Line
SAH scores higher overall (61/100 vs 24/100). 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.
Sonic Automotive Inc
CONSUMER CYCLICAL · AUTO & TRUCK DEALERSHIPS · USA
Sonic Automotive, Inc. is an automobile retailer in the United States. The company is headquartered in Charlotte, North Carolina.
Visit Website →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.
Visit Website →Compare with Other AUTO & TRUCK DEALERSHIPS Stocks
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