Just how pleased are investors with Tesla’s third-quarter results? Very pleased.
There are a lot of things that investors liked about the quarter. They can all be summarized in one word: growth.
Through early trading Thursday, Tesla had gained $114 billion in market value. It’s the largest increase since Jan. 31, 2022, when it gained $118 billion, according to Dow Jones Market Data.
If that holds, that would represent the fourth largest one-day gain in market value ever for Tesla and only the fifth one-day gain of more than $100 billion.
Tesla’s current market value is just under $800 billion. Toyota Motor is the second most valuable car company in the world. Its market value is about $270 billion.
Back in 2022, a 10% gain generated the $100 billion-plus jump. At the time, Tesla stock was north of $300 a share, down from all-time highs north of $414 reached in late 2021. Tesla’s EV sales were about half of what they are today, but they were growing roughly 60% year over year.
Tesla’s sales in 2024 are expected to be flat compared with 2023. Growth has been a struggle. But management, on Wednesday, said they believe sales can grow 20% to 30% in 2025.
Like 2022, growth is what has investors most excited.