Elon Musk is the person who has brought a revolution in the automobile industry by introducing electric cars in the world. His company Tesla Motors has launched a number of e-vehicles including a cyber truck. No other company has made vehicles like Tesla Motors. Because of these reasons, the company has become the most valuable automaker in the world as its shares surged to record high thus beating the Toyota Motors and occupying the first spot.
Tesla Becomes the Highest-Valued Automaker of the World
Recently, Tesla shares grew 5% to a record of $1,133, expanding the company’s market capitalization to a staggering $209.47 billion nearly $6 billion more than Toyota Motors. Along with that, Tesla is now worth more than the combined value of US automakers General Motors Co and Ford Motor Co.
The shares’ swift rise, up more than 163 percent since the start of this year, highlights increasing confidence among investors regarding the future of e-vehicles. After numerous years of losses, Tesla has produced three continuous profitable quarters since the third quarter of last year.
Toyota, one of the world’s largest automakers, sold 10.46 million automobiles during its 2019 financial year, ending on March 31, 2020. It reported net revenues of $281.20 billion, during that time.
In comparison, Tesla ended 2019 with $24.6 billion in revenues, with 367,200 vehicles delivered. Chief Executive of Tesla Elon Musk said that the company would deliver at least 500,000 vehicles, despite the coronavirus pandemic. The company is expected to report second-quarter delivery numbers at the end of this week.