Electric car maker Tesla, owned by Elon Musk, has become the most valuable car company in the world on June 10 after its stocks surged to an all-time high.
Tesla’s stock rose by about 7.6% to $1,011.65, helping it to lift its market capitalisation to an intraday peak of almost $189 billion. Tesla’s stock surge was in expected lines given its performance in recent months when the carmaker has been rapidly rising to the top.
The surge on June 10 helped Tesla go past Toyota’s valuation, for a small period of time, during trading on Wednesday. The Japanese carmaker with a market cap of $182.87 billion, currently remains the most valuable carmaker in the world. Wednesday was a clear indication that Tesla may not take long before taking Toyota’s top spot.
The surge in Tesla’s valuation is attributed to Elon Musk’s decision to ramp up the production of his Tesla Semi commercial truck. According to Reuters, Musk had sent an email to Tesla employees on this. He did not specify a time frame for ramping up production of the Semi. However he tweeted “Yes” to a question on Twitter about whether the report of the leaked Semi truck production email was accurate.
When Musk unveiled the prototype of the futuristic, battery-powered Semi in 2017, he said the Class 8 truck would go into production by 2019. More recently, he said the Semi would go into volume production by 2021.
