Diamondback Energy Inc (FANG)vsTesla Inc (TSLA)
FANG
Diamondback Energy Inc
$196.02
-0.53%
ENERGY · Cap: $55.59B
TSLA
Tesla Inc
$385.95
+0.76%
CONSUMER CYCLICAL · Cap: $1.38T
Smart Verdict
WallStSmart Research — data-driven comparison
Tesla Inc generates 563% more annual revenue ($94.83B vs $14.29B). FANG leads profitability with a 11.6% profit margin vs 4.0%. TSLA appears more attractively valued with a PEG of 5.02. FANG earns a higher WallStSmart Score of 45/100 (D+).
FANG
Hold45
out of 100
Grade: D+
TSLA
Avoid23
out of 100
Grade: F
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-29.4%
Fair Value
$130.64
Current Price
$196.02
$65.38 premium
Margin of Safety
-5161.4%
Fair Value
$7.28
Current Price
$385.95
$378.67 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Large-cap with strong market position
Reasonable price relative to book value
Generating 1.4B in free cash flow
Mega-cap, among the largest globally
Conservative balance sheet, low leverage
Generating 1.4B in free cash flow
Areas to Watch
Premium valuation, high expectations priced in
ROE of 3.7% — below average capital efficiency
Weak financial health signals
Expensive relative to growth rate
Trading at 17.6x book value
ROE of 4.9% — below average capital efficiency
4.0% margin — thin
Operating margin of 4.7%
Comparative Analysis Report
WallStSmart ResearchBull Case : FANG
The strongest argument for FANG centers on Market Cap, Price/Book, Free Cash Flow.
Bull Case : TSLA
The strongest argument for TSLA centers on Market Cap, Debt/Equity, Free Cash Flow.
Bear Case : FANG
The primary concerns for FANG are P/E Ratio, Return on Equity, Piotroski F-Score.
Bear Case : TSLA
The primary concerns for TSLA are Price/Book, Return on Equity, Profit Margin. A P/E of 343.9x leaves little room for execution misses. Thin 4.0% margins leave little buffer for downturns.
Key Dynamics to Monitor
FANG profiles as a declining stock while TSLA is a value play — different risk/reward profiles.
TSLA carries more volatility with a beta of 1.93 — expect wider price swings.
TSLA is growing revenue faster at -3.1% — sustainability is the question.
TSLA generates stronger free cash flow (1.4B), providing more financial flexibility.
Bottom Line
FANG scores higher overall (45/100 vs 23/100). Both earn "Hold" 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.
Diamondback Energy Inc
ENERGY · OIL & GAS E&P · USA
Diamondback Energy is a company engaged in hydrocarbon exploration and headquartered in Midland, Texas.
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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