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Tesla’s Electric Rise in Value

This is a syndicated repost published with the permission of Statista | Infographics. To view original, click here. Opinions herein are not those of the Wall Street Examiner or Lee Adler. Reposting does not imply endorsement. The information presented is for educational or entertainment purposes and is not individual investment advice.

Electric carmaker Tesla reached a market valuation of over $270 billion in August, propelling them over $70 billion more in valuation when compared to top global carmaker Toyota to be the most valuable carmaker in the world.

Tesla trailed the Japanese car manufacturer Toyota earlier in the year, which has held a steady market cap around $200 billion throughout the pandemic.

At the beginning of the year, Tesla had an astronomical rise in market valuation, more than doubling its stock value over the first three months. The surge was attributed to Tesla’s third-quarter profit from last year, as well as new factories being built and quick car deliveries to customers. Tesla has also led the pack in electric car manufacturing, infrastructure and marketing, a growing market that all car manufacturers are looking to fill as quickly as possible. Still, Elon Musk’s unicorn is still perplexing many analysts, leaving many scratching their heads as to why the company continues to balloon in value.

The second-closest U.S. car manufacturer in market valuation is GM, followed by other car manufacturers like Ford and Fiat Chrysler. However, while Tesla and Toyota have rebounded from losses sustained at the beginning of the COVID-19 crisis, these manufacturers are still well below where they started at the beginning of 2020 – hovering around $20 to $30 billion in market cap.

This chart shows the total market capitalization of Tesla and Toyota between August 2019 and August 2020 (in billion U.S. dollars).

tesla market valuation record

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