Sunrun vs Tesla

Sunrun and Tesla are two well-known companies in the renewable energy sector, both focusing on solar energy solutions. Sunrun specializes in providing residential solar installations and energy storage systems, while Tesla offers a wide range of products including solar panels and electric vehicles. Investors often compare the two companies' stocks to determine which is a better investment opportunity. Both companies have seen significant growth in recent years, but there are key differences in their business models and financial performance that investors should consider before making a decision.

Sunrun or Tesla?

When comparing Sunrun and Tesla, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between Sunrun and Tesla.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. Sunrun has a dividend yield of -%, while Tesla has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Sunrun reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, Tesla reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with Sunrun P/E ratio at -2.45 and Tesla's P/E ratio at 56.55. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Sunrun P/B ratio is 0.63 while Tesla's P/B ratio is 10.54.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Sunrun has seen a 5-year revenue growth of 0.59%, while Tesla's is 2.63%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Sunrun's ROE at -25.59% and Tesla's ROE at 20.07%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $14.89 for Sunrun and $217.12 for Tesla. Over the past year, Sunrun's prices ranged from $8.43 to $22.26, with a yearly change of 164.06%. Tesla's prices fluctuated between $138.80 and $271.00, with a yearly change of 95.24%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.