This should be compared though to the general trend in current US stocks valuations, that are on par with Tulip Mania and Dot-com bubble.
Some examples:
- Palantir - valued at 337B USD (more than Meta less than 3 years ago !), with a revenue of 2B and net incomre 500M
- Gamestop - valued at 10B USD, with a quickly declining revenue of 4B and net income 100M (they lost money most of the time in the past 10 years)
- Coreweave - valued at 74B USD, on 1B revenue (growing quickly), 300m net loss, and very discutable accounting
- Tesla - valued at 1000B USD, on 100B revenue (which is now collapsing), 7B net income which will most probably turn into a less starting this quarter (no more ZEV credits) or next quarter (no more 7500$ subsides)
- xAI - valued at what, 100B USD ? On probably 0 revenue and huge losses.
Same goes for OpenAI, SpaceX etc, and I'm not even starting to talk about crypto (yeah, Dogecoin has a 'market cap' of 27B USD...).
We are living almost unprecedented times in terms of US stock valuations.
Amazon also had a p/e over 100 and a p/s over 10 in its earlier history.
You also have to look at the market size these companies are addressing while having few competitors.
Tesla for example is addressing "driving cars" with its self-driving project. There are 2B cars on the road. If we value driving them at $5 per day, that is $5 * 365 * 2B = $3650B in annual value. Capturing 10% of that would be $365B per year. At a p/e of 30 that is over $10T - ten times Tesla's current market cap.
I think your numbers are a bit understated. You are missing some other important sectors Tesla is adressing - "driving cars on Mars" and "autonomous drones". You should add an additional 0 or maybe two 0s to your numbers.
Some examples:
- Palantir - valued at 337B USD (more than Meta less than 3 years ago !), with a revenue of 2B and net incomre 500M
- Gamestop - valued at 10B USD, with a quickly declining revenue of 4B and net income 100M (they lost money most of the time in the past 10 years)
- Coreweave - valued at 74B USD, on 1B revenue (growing quickly), 300m net loss, and very discutable accounting
- Tesla - valued at 1000B USD, on 100B revenue (which is now collapsing), 7B net income which will most probably turn into a less starting this quarter (no more ZEV credits) or next quarter (no more 7500$ subsides)
- xAI - valued at what, 100B USD ? On probably 0 revenue and huge losses.
Same goes for OpenAI, SpaceX etc, and I'm not even starting to talk about crypto (yeah, Dogecoin has a 'market cap' of 27B USD...).
We are living almost unprecedented times in terms of US stock valuations.