Tesla shares continued their upward momentum after Monday’s opening, breaking through the $500 mark for the first time, and by the close, tesla shares were up 9.77 percent at $524.86, a record high. Analysts say this is largely due to Tesla’s recent strong performance in the Chinese market and strong deliveries in 2019. Tesla’s share price has more than doubled in the past three months, according to FactSet, a financial data provider.
Recent share prices have pushed Tesla’s market capitalisation up to about $90 billion, nearly $5 billion more than General Motors and Ford combined. Of course, the market value of a company measures the value of the issued share capital of the company and does not tell the whole story.
The combined valuations of GM and Ford are much higher, taking into account equity, debt and cash. Ford’s total corporate value is $154 billion, compared with $132 billion for General Motors, according to data compiled by FactSet.
Tesla’s share price has been rising since it reported a surprise profit in its third-quarter results last October. At the time, the stock was trading at just over $250 a share.
Piper Sandler, the Wall Street investment bank, raised Its Tesla target price to $553 from $423 last week. Oppenheimer, the investment bank, today raised its Tesla target price to $612 from $385.