To The Moon

🌟🌟🌟Tesla $Tesla Motors(TSLA)$ has been on a tear ever since Donald Trump was elected President in November 2024. It reached USD 1.29 Trillion in market cap with a 52 week high of USD 488.54 in 2024. However its share price skidded and dropped by almost 7% on Thursday when Tesla released its Q4 24 update that came in below Analysts expectations. Tesla announced that it had produced 459,000 vehicles and delivered 495,000 vehicles in Q4 24. While the performance was not as bad as the more recent projections, it came in below the average analyst estimate. In contrast BYD $BYD COMPANY(01211)$ $BYD Co., Ltd.(BYDDF)$ delivered 595,000 EVs. That was more than Tesla, giving the quarterly global sales crown to BYD for the 2nd time. In 2024, Tesla produced 1,773,443 EVs while BYD produced 1,777, 965 EVs, about 4500 more than Tesla did. Looking back to 2023, Tesla had a sizeable lead. That year, BYD produced about 1.6 million EVs while Tesla produced 1.85 million EVs. But now BYD has caught up with Tesla. I believe that at the heart of Tesla's slowing demand in comparison with BYD, is that it relies almost exclusively on 2 High volume models - the Model Y and Model 3. Tesla's Cybertruck which was launched in late 2023 was its first brand new model since 2020. But Cybertruck is proving to be too expensive to meaningfully drive sales. BYD in contrast, grew EV production and sales by about 12% in 2024 as it continues its expansion into new markets overseas. In addition to EVs, BYD also makes plug in hybrids which are also very popular. BYD's overall vehicle sales skyrocketed by 41% to 4.27 million units in 2024. In addition to that, BYD makes batteries and enjoys a lower cost of production too. BYD has also benefited from major government subsidies which includes a cash for old vehicles program launched in April 2024. Tesla says that it will start launching new models, including more affordable ones in the first half of 2025. Tesla may also launch an updated model of its popular Model Y too. Tesla is currently trading at a Price to Earnings (P/E) ratio of 112. In contrast BYD P/E ratio is only 20. In my opinion Tesla's share price is overpriced while BYD seems undervalued. BYD's vehicles are also cheaper than Tesla. The average car sold by BYD was around USD 27,000 in Q3 24 compared to USD 45,000 for Tesla. BYD now accounts for more than one quarter of all BEVs made in China, more than double Tesla's share, after picking up about 14% of market share over the past 2 years. BYD is also rapidly expanding overseas. It is building a new plant in Brazil. BYD began mass production at its NEV plant in Rayong Thailand in July 2024. It also plans to invest USD 1.3 billion in Indonesia to build a new EV plant, to be operational by 2026. BYD will also build a manufacturing site in Hungary to supply Eastern Europe. Ultimately BYD aims to deliver 50% of its production output outside its home market. BYD has a Zacks rating 1 -Strong Buy while Tesla is Zacks rating 3 - Hold. 2025 will be a pivotal year for the EV industry with Tesla and BYD competing for the global EV crown. BYD's meteoric sales growth fueled by cost effective models and strategic global expansion, positions it as a strong contender to eclipse Tesla 's long standing supremacy. Nonetheless Tesla' s innovative edge and strong brand loyalty makes it a formidable competitor despite recent setbacks. Tesla Versus BYD - Which is a Better Buy? My vote goes to BYD as it offers me more value for my money. The good news is I can buy BYD in Singapore with the listing of its Hong Kong SDR $BYD HK SDR 10to1(HYDD.SI)$ . Tiger Brokers has a commission free promotion on all HK SDRs until 31st March 2025. With a 10:1 ratio, I do not need to worry about exchange fees and I will also receive dividends in Singapore dollars too. Will 2025 be the year BYD overtakes Tesla? Or will Tesla solidify its position as the global EV leader? Only time will tell but both BYD and Tesla will be 2 stocks I will watch closely as I believe they are the best EV stocks to buy. @Daily_Discussion @TigerStars @Tiger_SG @Tiger_comments @TigerClub @MillionaireTiger @CaptainTiger