Electric vehicle leader Tesla got tossed from the trillion-dollar club this past year. Some might argue that the publicity around Elon Musk's Twitter purchase hurt shares, while others will point to the bear market and recession fears. Either way, Tesla's absence from the club seems temporary. The company still dominates the electric vehicle market; its models took four of the top six spots in units sold in 2022. The top-selling Model Y sold over 191K units; the best non-Tesla model (Mustang Mach-E) came in at just 28K units.
Tesla's growth days are probably far from over; analysts estimate that earnings per share (EPS) will grow by an average of 28% annually over the next several years. Suppose Tesla grows earnings even at a 15% rate for the next decade. After all, Tesla's growth should be aided by the freshly launched Tesla Semi and the upcoming Cybertruck, so this might be conservative.
