NetEase Science and Technology News on January 9, according to foreign media reports, on Wednesday, local time in the United States, the market value of electric car maker Tesla reached a record high, exceeding the total of General Motors and Ford Motor Company for the first time.
Figure 1: Tesla CEO Elon Musk speaks at the opening ceremony of the Tesla model 3 Y project at Tesla’s Shanghai plant on January 7, 2020
On Wednesday, Tesla’s stock price closed at US $ 492.14, up 23.08%, or 4.92%, with a market value of US $ 88.7 billion, and was approaching US $ 500 intraday. U.S. media conducted a comparison based on midday prices. At that time, Tesla had a market value of $ 88.8 billion, which was $ 2 billion more than the combined market value of GM and Ford. The current market value of the two companies is $ 49.4 billion and $ 36.6 billion, respectively.
Figure 2: Tesla’s market value exceeds the sum of GM and Ford
Tesla’s stock price has almost turned over in the past three months, driven by favorable factors such as the unexpected third-quarter earnings results announced last October, faster progress at the new plant in Shanghai, China, and better-than-expected vehicle deliveries in the fourth quarter. Some time.
Tesla’s CEO Elon Musk’s success has shattered expectations of short-sellers and other traders who expect Tesla to be surpassed by established car companies including GM and Ford.
Figure 3: Tesla’s market cap is much higher than GM and Ford’s
Highlighting investors’ confidence in Musk and his company’s future growth, Tesla’s market value exceeds US competitors, even though their car sales dwarf Tesla’s. GM and Ford each delivered more than 2 million vehicles in the United States last year, while Tesla delivered only 367,500 vehicles worldwide.
Although Tesla model 3 recent progress has encouraged supporters, many analysts and investors remain skeptical of the company’s ability to continue to provide profit and cash flow.
Figure 4: U.S. automaker sales estimates for 2019
In recent years, Tesla has repeatedly failed to achieve the expected goals, and Musk’s individual capricious behavior has also been closely watched by financial regulators and Tesla shareholders.
More analysts rate Tesla stock as “sell” rather than “buy”, which is extremely unusual for Wall Street. According to data compiled by Refinitiv, 11 analysts suggested “buying” Tesla stock, 13 analysts suggested “selling”, and 9 analysts held a “neutral” position.
GM’s share price hasn’t changed much in the past 12 months, while Ford’s share price has risen by 10%. Both have underperformed significantly. Emotions cause serious damage.
This week, Tesla model 3 began delivering domestic Model 3 electric vehicles produced at the Shanghai plant, at which time less than a year after the start of the $ 2 billion plants.