Tesla’s market value has exceeded 600 billion US dollars.
On December 7th, U.S. time, U.S. stocks closed, and Tesla’s share price soared 7.13% to $641.76 per share, and the market value also exceeded $600 billion to $608.325 billion.
It is worth noting that Tesla’s share price has increased by 667% since the beginning of the year. The $600 billion market value is equivalent to 3 Toyota cars, 9 GM cars, 11 Honda cars and 16 Ford cars.
Despite Tesla’s stock price hitting new highs, Gene Munster, co-founder of venture capital company Loup Ventures, said in an interview with American media CNBC that Tesla’s share price may rise by more than 300% to 2 in the next three years. $500/share, when its market value will increase to more than $2 trillion. At present, only Apple’s market capitalization exceeds $2 trillion among the companies listed in the United States.
Gene Munster said that Tesla will not be a car company in the next few years. “They will really use their own definition of technology, pioneer the automotive field and apply it to new markets.”
Gene Munster discusses Tesla CEO Elon Musk’s recent comments that the company could enter the insurance business or HVAC (HVAC) field.” Musk recently said that 30 to 40 percent of the value of each vehicle can be used for insurance. This means they can start offering their own insurance and boosting their profits. This is a high-profit income. Not to mention everything Tesla does around upgrading autonomous driving remotely, and even doing something about HVAC.
Gene Munster also noted that the development of flying taxis would expand another frontier of Tesla, which would push its dollar share price up.” I won’t invest in Tesla on this basis, but I agree with the idea that it will continue to grow and become a technology leader in the next decade.”
Gene Munster added that it is too late for traditional car companies to compete with Tesla, and Volkswagen and General Motors are far away from Tesla. He also said that there is actually no substantial competition between Tesla and traditional car companies, and Tesla will develop in fields other than automobiles for a long time.
Not only does Gene Munster think that Tesla’s market value will exceed $2 trillion. Ron Baron, a legendary investor in the United States, said in October this year that Tesla’s car sales will grow by 50% a year in the next few years, and he also predicted that Tesla’s market value would reach $2 trillion US dollars.