SEDG vs. TSLA

Last updated Jun 3, 2026

SEDG (SolarEdge Technologies, Inc.) and TSLA (Tesla, Inc.) are both stocks. SEDG operates in Solar (Technology), while TSLA operates in Auto Manufacturers (Consumer Cyclical). Over the past 10 years, SEDG returned 14.08%/yr vs 40.05%/yr for TSLA. At a 0.31 correlation, their price movements are largely independent.

Performance

SEDG vs. TSLA - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in SolarEdge Technologies, Inc. (SEDG) and Tesla, Inc. (TSLA). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, SEDG achieves a 172.13% return, which is significantly higher than TSLA's -5.78% return. Over the past 10 years, SEDG has underperformed TSLA with an annualized return of 14.08%, while TSLA has yielded a comparatively higher 40.05% annualized return.

SEDG

• 1D: 3.58%
• 1M: 82.96%
• YTD: 172.13%
• 6M: 140.39%
• 1Y: 359.12%
• 3Y*: -35.39%
• 5Y*: -19.93%
• 10Y*: 14.08%

TSLA

• 1D: 1.89%
• 1M: 8.42%
• YTD: -5.78%
• 6M: -1.28%
• 1Y: 23.65%
• 3Y*: 25.58%
• 5Y*: 17.28%
• 10Y*: 40.05%

*Multi-year figures are annualized to reflect compound growth (CAGR)

SEDG vs. TSLA - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
SEDG SolarEdge Technologies, Inc.	172.13%	112.13%	-85.47%	-66.96%	0.96%	-12.08%	235.60%	170.91%	-6.52%	202.82%
TSLA Tesla, Inc.	-5.78%	11.36%	62.52%	101.72%	-65.03%	49.76%	743.44%	25.70%	6.89%	45.70%

Correlation

The correlation between SEDG and TSLA is 0.19, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.19
Correlation (3Y) Calculated over the trailing 3-year period	0.24
Correlation (5Y) Calculated over the trailing 5-year period	0.33
Correlation (10Y) Calculated over the trailing 10-year period	0.32
Correlation (All Time) Calculated using the full available price history since Mar 27, 2015	0.31

The correlation between SEDG and TSLA shifts across timeframes, from 0.19 (1 year) to 0.33 (5 years), reflecting how their relationship changes across market environments.

Fundamentals

EPS SEDG : -$8.28 TSLA : $1.10
PS Ratio SEDG : 2.71 TSLA : 15.28
Total Revenue (TTM) SEDG : $1.28B TSLA : $97.88B
Gross Profit (TTM) SEDG : $232.34M TSLA : $18.66B
EBITDA (TTM) SEDG : -$214.57M TSLA : $10.48B

Return for Risk

SEDG vs. TSLA — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

SEDG

SEDG Risk / Return Rank: 93
SEDG Sharpe Ratio Rank: 96
SEDG Sortino Ratio Rank: 90
SEDG Omega Ratio Rank: 89
SEDG Calmar Ratio Rank: 97
SEDG Martin Ratio Rank: 94

TSLA

TSLA Risk / Return Rank: 55
TSLA Sharpe Ratio Rank: 57
TSLA Sortino Ratio Rank: 53
TSLA Omega Ratio Rank: 51
TSLA Calmar Ratio Rank: 57
TSLA Martin Ratio Rank: 57

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

SEDG vs. TSLA - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for SolarEdge Technologies, Inc. (SEDG) and Tesla, Inc. (TSLA). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

	SEDG	TSLA	Difference
Sharpe ratio Return per unit of total volatility	3.52	0.51	+3.01
Sortino ratio Return per unit of downside risk	3.25	0.98	+2.26
Omega ratio Gain probability vs. loss probability	1.42	1.12	+0.30
Calmar ratio Return relative to maximum drawdown	9.11	0.75	+8.37
Martin ratio Return relative to average drawdown	18.63	1.74	+16.88
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

SEDG vs. TSLA - Sharpe Ratio Comparison

The current SEDG Sharpe Ratio is 3.52, which is higher than the TSLA Sharpe Ratio of 0.51. The chart below compares the historical Sharpe Ratios of SEDG and TSLA, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	SEDG	TSLA	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	3.52	0.51	+3.01
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	-0.24	0.30	-0.53
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.19	0.68	-0.49
Sharpe Ratio (All Time) Calculated using the full available price history	0.17	0.73	-0.56

Drawdowns

SEDG vs. TSLA - Drawdown Comparison

The maximum SEDG drawdown since its inception was -97.16%, which is greater than TSLA's maximum drawdown of -73.63%. Use the drawdown chart below to compare losses from any high point for SEDG and TSLA.

Drawdown Indicators

	SEDG	TSLA	Difference
Max Drawdown Largest peak-to-trough decline	-97.16%	-73.63%	-23.53%
Max Drawdown (1Y) Largest decline over 1 year	-37.26%	-29.93%	-7.33%
Max Drawdown (3Y) Largest decline over 3 years	-96.44%	-53.77%	-42.67%
Max Drawdown (5Y) Largest decline over 5 years	-97.16%	-73.63%	-23.53%
Max Drawdown (10Y) Largest decline over 10 years	-97.16%	-73.63%	-23.53%
Current Drawdown Current decline from peak	-78.68%	-13.50%	-65.18%
Average Drawdown Average peak-to-trough decline	-43.09%	-22.73%	-20.36%
Ulcer Index Depth and duration of drawdowns from previous peaks	18.23%	12.81%	+5.42%

Volatility

SEDG vs. TSLA - Volatility Comparison

SolarEdge Technologies, Inc. (SEDG) has a higher volatility of 36.47% compared to Tesla, Inc. (TSLA) at 12.11%. This indicates that SEDG's price experiences larger fluctuations and is considered to be riskier than TSLA based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	SEDG	TSLA	Difference
Volatility (1M) Calculated over the trailing 1-month period	36.47%	12.11%	+24.36%
Volatility (6M) Calculated over the trailing 6-month period	67.39%	27.28%	+40.11%
Volatility (1Y) Calculated over the trailing 1-year period	103.00%	46.37%	+56.63%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	83.50%	58.90%	+24.60%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	73.51%	59.12%	+14.39%

Dividends

SEDG vs. TSLA - Dividend Comparison

Neither SEDG nor TSLA has paid dividends to shareholders.

Tickers have no history of dividend payments

Financials

SEDG vs. TSLA - Profitability Comparison

The chart below illustrates the profitability comparison between SolarEdge Technologies, Inc. and Tesla, Inc. over time, highlighting three key metrics: Gross Profit Margin, Operating Margin, and Net Profit Margin.

SEDG - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, SolarEdge Technologies, Inc. reported a gross profit of 68.28M and revenue of 310.50M. Therefore, the gross margin over that period was 22.0%.

TSLA - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, Tesla, Inc. reported a gross profit of 4.72B and revenue of 22.39B. Therefore, the gross margin over that period was 21.1%.

SEDG - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, SolarEdge Technologies, Inc. reported an operating income of -55.04M and revenue of 310.50M, resulting in an operating margin of -17.7%.

TSLA - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, Tesla, Inc. reported an operating income of 941.00M and revenue of 22.39B, resulting in an operating margin of 4.2%.

SEDG - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, SolarEdge Technologies, Inc. reported a net income of -57.37M and revenue of 310.50M, resulting in a net margin of -18.5%.

TSLA - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, Tesla, Inc. reported a net income of 491.00M and revenue of 22.39B, resulting in a net margin of 2.2%.

Frequently Asked Questions

Can I hold both SEDG and TSLA in my portfolio?

SEDG and TSLA have a correlation of 0.19, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, SEDG or TSLA?

SEDG has higher volatility (36.47%) compared to TSLA (12.11%). In terms of maximum drawdown, SEDG dropped -97.16% vs TSLA's -73.63%.

Which has better risk-adjusted returns?

SEDG currently has the higher Sharpe Ratio (3.52 vs 0.51), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.