Tesla has overtaken Germany’s Volkswagen to become the second most valuable company in the world. The market capitalization of Elon Musk’s company broke $100 billion which is a first for a listed U.S. automaker.
Due to the increase in the stock value, Tesla overtook many of its established competitors becoming second only to Japan’s Toyota in terms of the world’s most valuable cars. The market capitalization of Toyota is $233 billion.
Even though there has been a surge in stock value, there are many in the auto industry that is cynical about Tesla’s consistency in increasing and retaining its profits.
It is estimated that over the next 12 months Tesla will gross $31 billion. It is a figure that would not put Tesla amongst the top 20 automakers when it comes to demand.
In comparison to Tesla, it is expected that Toyota will make $276 billion, Volkswagen will gross $283 billion while Daimler will gross $191 billion.
Recently President Trump complimented the co-founder and CEO of Tesla Musk while speaking at the World Economic Forum in Davos, Switzerland. He said that Musk is amongst the world’s “great geniuses.”
Back in 2018, Musk was compelled to step down as the chairman of Tesla and pay a hefty $20 million fine for allegedly misleading investors via his tweets.
In an earlier article, we informed our readers that Elon Musk wants his electric cars to be able to communicate in the future with the pedestrians. These talks would mostly be focused on either asking them to come along or request them to give way.