Tesla has overtaken Toyota to become the world’s most valuable carmaker by market value, in the week that marks the 10-year anniversary of the electric auto pioneer’s stock market entry. The electric carmaker’s shares have climbed five-fold during the past year, from $230 €204) around 12 months ago to $1,100 on Wednesday, taking the company’s market capitalisation to $205 billion. The relentless rise of Tesla’s shares has baffled some analysts, with the company’s value soaring despite producing only 500,000 vehicles this year and scarcely making a profit. Although major carmakers from Volkswagen to PSA are releasing battery vehicles, Tesla is still expecting its overall sales to grow as the global market for electric vehicles accelerates. One Tesla employee close to chief executive Elon Musk compared the feat of surpassing Toyota to the moment Amazon overtook Wal-Mart by market value in 2015.

Source: The Irish Times July 01, 2020 14:48 UTC