Wealthy Living

Tesla Dividend: Will it Ever be Paid and is it Worth Investing?

The appeal of growth stocks is that they have the potential for huge returns. Consider the massive rally by Tesla, Inc. (TSLA); in just the past three years, the stock has returned over 1,300% to shareholders.

Over time, any company – even Tesla – could make the decision to start paying dividends to shareholders, if it becomes profitable enough.

Even with Tesla’s huge run-up in share price, whether a company can pay a dividend depends on the underlying fundamentals.

While many growth stocks have made the transition to dividend stocks in recent years, it is doubtful Tesla will join the ranks of dividend-paying stocks any time soon.

Business Overview

Tesla was founded in 2003 by Elon Musk. The company started out as a fledgling electric car maker but has grown at an extremely high rate in the past several years.

Tesla has a current market capitalization above $700 billion, making it a mega-cap stock.

Tesla has a growing lineup of different models and price points and is looking into expanding that lineup further to become a full-line automaker.

Growth Prospects

Tesla’s primary growth catalyst is to expand sales of its core product line, as well as generate growth from new vehicles.

Swipe up now to read the full post!