The “Elite of the Elites”: Tesla Surpasses the $1 Trillion Market Cap
The “Elite of the Elites”: Tesla Surpasses the $1 Trillion Market Cap
An impressive feat for any organization
An impressive feat for any organization
Tesla’s stock price broke the $1 trillion barriers for the first time in history today (Oct 25th, 2021). It also puts Tesla among a select group of the “Elite of the Elites” with Apple (AAPL), Microsoft (MSFT), Saudi Aramco (2222. SR), Google (GOOG), Amazon (AMZN), and Facebook (FB) all having market values greater than $1 trillion. Facebook presently has a market value of about $926 billion.
Breaking the $1 trillion mark is quite an accomplishment. The only problem? It’s not easy to break it. There are currently six companies in the world with a market capitalization of over $1 trillion. Apple and Microsoft lead this elite group with Market Caps (MC) upwards of $2T apiece, while Saudi Aramco comes in third place at just under $1.9T.
Market Capitalization (Market Cap) is the value of all outstanding shares in a company. Short for market capitalization, the market cap puts companies on the scale by taking their shares and multiplying them by the share price. Market capitalization is the estimated value of all shares in a company. It is calculated by multiplying the current market price of the shares by the number of currently outstanding shares. Market cap is often used alongside other metrics to assess what size of business a company is and how it has performed over time.
Tesla stock surpassed the $1 trillion market value around midday Monday when it hit $998.22. Share prices remained near $1,000 for a few hours before rapidly reaching it — another first for Tesla. Tesla shares are now trading at over $1,024, up about 13% from this morning’s start. This is the company’s first time reaching $1,000 per share.
The stock market’s focus on Tesla news drove the company’s shares up today, including reports that car rental giant Hertz had committed to purchase 100,000 electric vehicles from the firm. The agreement, which will increase Hertz’s EV offerings to 20% of its global fleet, is worth $4.2 billion. According to Hertz, Model 3 cars will be available for rent in major North American cities as early as next month and select European cities.
Another analyst note from Morgan Stanley boosted Tesla’s $1,000 price target that the firm would raise its price target to $1,200 (from $900 previously) and reaffirm its overweight rating.
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DISCLAIMER: I am not a financial advisor. This post is for entertainment and information purposes only. I am not recommending financial products, always do your research and make your own decisions about what is best for you.