TeslaGraham MacWilliams and Aloke Desai

HistoryFounded in 2003 by Elon Musk, Martin

Eberhard, and Marc Tarpenning

March 2008- Tesla begins production of Roadster. Eventually sells 2,150 of Roadsters.

June 2008- Announce Model S

Jan 2010- Tesla registers for an IPO

May 2010- Tesla buys former GM factory in Fremont, CA and Toyota signs deal to cooperate in EV development

The Macro OutlookElectric car sales have increased 228% in last

year alone 17,000 in 2011 compared to $38,000 in

2012

Tesla essentially started the electric car market in the United States (Volt and Leaf didn’t exist before)

EV market has been trailing off

$10,000 tax rebate for EV cars this next year under the Obama administration

Makes EV cars more competitive

Why Tesla?Biggest opportunity for growth

Elon Musk’s proven leadership (PayPal and SpaceX)

Appleizing the car industry

New form of selling cars with no dealerships

Prove to transform the market, first to produce electric cars relatively cheaply

Model S Announced in 2008

Released this past summer

The specs of a sports car while still being completely electric

Competitively price—starts at $49,000

Equipped with some of most the advanced technology—17’’ screen

Voted car of the year by Autmobile.com

Room for GrowthStock is so low because Tesla lost

$1 billion on the Roadster Most don’t know it was planned

Competitive price can allow for unlimited growth, especially in countries like China

EV market is constantly expanding, Tesla leads the market with very few legitimate competitors

Tesla plans to release Model X (cheaper, mini-SUV) where they start making profits

Valuation Measures

Historical Information

Comparison with Market

CompetitorsMain competitor is Fisker

Karma starts at $96,000 Repeated troubles

safety-wise

Chevy and Nissan both have Evs, but neither are sports cars

Sales of both are down

Main ConcernsLost money on the Roadster

Analysts limit value of EV market

Production capacity

Questions

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