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Remove Tesla’s non-repeatable profits, and the stock has never been more expensive—now boasting a ‘core’ PE of 632
['Shawn Tully', 'Thu', 'January', 'At Pm Gmt', 'Min Read']
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Tesla posted GAAP net earnings of $3.79 billion, down 75% from the peak of $15 billion for 2023.
Tesla’s also piling on assets, notably for new plants and equipment, that it’s losing money on.
In 2025, Tesla pocketed $1.45 billion in credits after tax, plus $69 million from the sale of digital assets, for a total of $1.51 billion.
At its current market cap of $1.44 trillion, Tesla’s selling at an adjusted PE of 632 ($1.44 trillion divided by $2.28 billion).
At a “core” multiple that’s 80% higher, Tesla easily beats Palantir for offering minimal pennies in profit for every dollar you’re paying for the shares.