Today, intraday, Tesla's (NASDAQ: TSLA) market cap surpassed the $700 billion mark for the first time. This is an incredibly important milestone demonstrating the company's strength and investor confidence in it.
Tesla shares today hit a new all-time high of $744.49 and hit a market cap of $704.1 billion. The stock rallied to a record high in its first trading session in 2021, and continued the stunning gains it saw last year.
This explosive growth is underpinned by Tesla's ability to meet its 2020 delivery targets. On January 2, the company reported that it delivered half a million vehicles, exceeding Wall Street's expectations by average consensus.
This confidence of investors in Tesla is also a result of the fact that the company has already reported five profitable quarters in a row, and they have every reason to believe that Q4 2020 will also be profitable. In December, Tesla was included in the prestigious S&P 500 index, which testifies to the great confidence in the manufacturer.
Tesla became the first auto company to reach a market capitalization of $700 billion. This demonstrates how revolutionary the company's products are, and reflects investor confidence that Tesla will continue to grow and develop steadily.
Tesla shares were trading at $734.75 per share at the time of writing, with a market cap of $696.47 billion, slightly less than the combined market cap of the world's eight most valuable automakers.
© 2020, Eva Fox. All rights reserved.
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Eva Fox holds zero shares of Tesla, Inc., and currently (at the time of this article's publishing) holds zero options or securities in Tesla Inc. and/or its affiliates.
About the Author
Eva Fox joined Tesmanian in 2019 to cover breaking news as an automotive journalist. The main topics that she covers are clean energy and electric vehicles. As a journalist, Eva is specialized in Tesla and topics related to the work and development of the company.