Tesla's (NASDAQ: TSLA) value soared to an impressive $600 billion on Monday, making it the sixth company ever in the U.S. to achieve it. The share price rose 7.1% to $641.76 per share, which is a new all-time high.
Since the S&P Index Committee announced on November 16 that Tesla shares will be added to the S&P 500 on December 21, the company has added about $220 billion in market capitalization. Tesla currently has a market cap of $608.32 billion, which almost equals the seven most expensive automakers in the world combined. Since the beginning of the year, the company's shares are up about 660%.
Aggressive traders are positioning themselves for a surge of index-fund buying around December 21. Trillions of dollars are indexed to the S&P 500 and it is likely that index funds have more than 100 million Tesla shares to buy. Tesla is the most valuable company to enter the index, and will also likely have the largest weighting for a new company ever.
The S&P index committee should announce Tesla's weighting on Friday after the market closes. It will likely also announce which stocks are leaving the index.
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