S&P 500 (same period): $3,582 (258.22%) The decade looks tidy on paper and felt anything but in real time. Most of that 27x came from a 2016 entry near $14.71 a share compounding through the 2020 mania, then surviving drawdowns of more than 70% in 2022 and another deep cut in 2024. Holders who flinched at any of those captured a fraction of the return. The one-year window now barely trails the S&P 500, a sign that easy alpha here is gone. I’d put $1,000 into Tesla today if I genuinely believed the AI story compounds from here. The Bull Case Hinges on the AI Story The bull case for adding Tesla here rests on believing Robotaxi scales beyond pilots, Optimus reaches commercial volume, and the energy business keeps compounding (Q4 deployments hit a record 14.2 GWh). Automotive gross margin recovering to 21.1% and $44.74 billion in cash give the AI bet a long runway. The bear case strengthens if a trailing P/E near 385 looks indefensible against 2025 net income down 46.79% and vehicle deliveries that slid all year. Add execution risk on Robotaxi, fading regulatory credits, and the SpaceX merger chatter weighing on sentiment, and the bar is high. On balance, the valuation already prices in the AI win, so the risk/reward looks more attractive after Robotaxi proves unit economics than ahead of it. Follow 24/7 Wall St. on Google