Elon Musk’s Tesla has officially surpassed $1 trillion in market capitalization on Monday, becoming the fifth firm in the country to do so, after Microsoft, Alphabet, Apple, and Amazon, according to an initial report from Reuters.
In other words, Tesla has officially joined the club of Big Tech superpowers. And CEO Tesla Elon Musk knows it, tweeting “Wild $T1mes!” on Monday afternoon.
Tesla surged past the $1 trillion market cap threshold at roughly midday on Monday when its shares reached $998.22. Share prices seemed stuck just under $1,000 for a moment, then rocketed upward like a rocket from another company run by CEO Tesla Elon Musk: SpaceX. As of writing, Tesla shares are worth $1,024, an increase of 13% from this morning’s opening value. This marks the first time the all-electric automaker’s share price has gone beyond $1,000 per share. Shares went even higher on Monday as multiple news stories on Musk’s all-electric automaker, like the purchase of 100,000 EVs by the car rental giant Hertz, broke. The deal will make 20% of Hertz’s global rental fleet all-electric, and is reportedly worth $4.2 billion, according to a TechCrunch report.
Tesla’s new trillion-dollar status was also bolstered by a note from Morgan Stanley analyst Adam Jonas, who said the company was raising its price target to $1,200 (up from $900). Another report from JATO Dynamics said that Tesla’s Model 3 had climbed to the top of the charts in Europe in September, outselling any other conventional internal combustion engine. This exploding share price stands on the shoulders of last week’s report from Musk’s firm, when it reported a net income of $1.62 billion in the third quarter of 2021, nearly five times its income of $331 million in the same quarter of 2020. This record-breaking profit margin came despite a harrowing global chip shortage, with global supply chains extremely constrained, putting many industry juggernauts in a tight spot.