Flagship explainer

What drives Tesla, Inc.’s return on equity?

ROE is five filed business factors multiplied together.

DuPont return on equity factor treeReturn on equity branches into tax burden, interest burden, operating margin, asset turnover, and the equity multiplier.Return on equity5%Tax burden72%net income ÷ pretax incomeInterest burden121%pretax ÷ operating incomeOperating margin5%operating income ÷ revenueAsset turnover0.73×revenue ÷ average assetsEquity multiplier1.68×average assets ÷ average equityAs of 2025-12-31 · 1 SEC filing sourceBuy Like Buffett · buylikebuffett.com
DuPont source inputs
InputValueFiscal yearSource
$3.8BFY2025
Income before tax$5.3BFY2025
Operating income$4.4BFY2025
$94.8BFY2025
Ending assets$137.8BFY2025
Beginning assets$122.1BFY2024
$82.1BFY2025
$72.9BFY2024
Source: · event Dec 31, 2025 · retrieved Jul 26, 2026 · annual-row source set
Embed this chart

View the full Tesla, Inc. analysis at Buy Like Buffett

TSLA dupont explainer — Buy Like Buffett · Buy Like Buffett