On Wednesday, the Palo Alto, California-based electric vehicle industry leader, Tesla Inc. had surged past the former front-runner Japanese carmaker Toyota Motors Corp. in terms of market valuation, becoming the world’s highest-valued carmaker as its NYSE-listed shares’ prices had reached a new closing high.
In point of fact, Tesla Inc. stocks had soared more than 5 per cent in early morning US trading hours to reach an all-time record high of $1,133 per share, eventually uplifting the company’s market cap to $209.47 billion, roughly 3 per cent higher than the market cap of Toyota Motors Corp.
Aside from that, after wrapping up the day 3.69 per cent higher to $1,119.63 apiece, shares’ prices of Tesla Inc.
had added 1.64 per cent further in the after-market trading to round off the day at $1,337.99 per share.
Tesla shares meteoric rise vindicates investors confidence on future of e-vehicles
In tandem, the road towards becoming the world’s most valuable automotive company had not been rosy for Tesla Inc., which had to stomach several years of losses, however, after EU and the US had emphasized on green energy moves last year and had taken punitive measures against several large automakers due to their cheating in emission tests, Tesla Inc.
had delivered three straight profitable quarters since mid-2019 and had flabbergasted investors with its first quarter deliveries despite the pandemic outbreak. Apart from that, followed by the Wednesday’s market wind down, a number of industry analysts were quoted saying that the spacedive of Tesla Inc.
stocks, which gained as much as 163 per cent this year so far, had been underscoring a growing confidence among the investors about a revivifying future of green and renewable energy-powered technologies. Besides, as Tesla Inc.’s market valuation has become tripled of the combined market cap of the United States’ first- and second-largest fossil-fuel powered vehicle maker, General Motors and Ford Motors Corp.
respectively, a raft of Wall St. analysts had branded latest Tesla rally as a vivid reflection of Tesla’s transformation into a global leader in cleaner cars from a genre-based carmaker.