Tesla hits $500 billion market cap for the primary time

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Tesla CEO Elon Musk reacts throughout a dialog on the E3 gaming conference in Los Angeles, June 13, 2019.

Mike Blake | Reuters

Tesla surged previous a $500 billion market cap on Tuesday after markets opened and its inventory value surpassed $527.48 per share.

Shares of Tesla had been buying and selling at $540.40, up greater than 3%, when markets opened.

The corporate has been on a tear this 12 months, with its inventory value growing greater than fivefold. Whereas the mark is essentially symbolic, it underscores CEO Elon Musk’s push for growth. Tesla turned the primary $100 billion publicly listed U.S. carmaker in January.

In October, Tesla reported its fifth consecutive quarter of revenue on third-quarter income of $8.77 billion. The corporate additionally reported earlier that month it delivered 139,300 vehicles throughout the third quarter, a brand new document for the carmaker. 

Tesla is ready to join the S&P 500 prior to trading on Monday, Dec. 21, a transfer that pushed shares greater earlier this month since cash managers with funds that monitor the S&P 500 might want to purchase the inventory for his or her portfolios. Morgan Stanley additionally upgraded Tesla to a buy-equivalent chubby score final week, the primary time in years because the firm put a purchase score on the inventory.

This week’s inventory leap additionally pushed Musk to overhaul Microsoft billionaire Invoice Gates because the world’s second richest person, in accordance with the Bloomberg Billionaire Index, which tracks the wealth of the world’s 500 richest individuals. Musk’s web value has risen greater than $100 billion in 2020, marking the biggest improve amongst these on the Bloomberg Billionaire Index. In January, Musk ranked thirty fifth on the record. He now trails Amazon CEO Jeff Bezos.

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