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Tesla's energy business, driven by Mega Packs, appears undervalued in the market. Currently, Tesla sells Mega Packs for over $400 per kilowatt-hour but sources batteries from suppliers like CATL at around $100 per kilowatt-hour, with some estimates suggesting even lower costs. Given that batteries constitute roughly half the cost of a Mega Pack, Tesla enjoys a significant profit margin on these products, especially when factoring in installation, maintenance, and other services.