Over the past 13 years, Elon Musk and his company have not only ensured rising stock prices, but also a variety of surprises and innovations.
• Shares climbed from $17 to $409.97 at one point
• Two stock splits completed
• Tesla has long been more than just a car manufacturer
Brought on June 29, 2010 Elon Musk his company Tesla, the first American automobile company since Ford in 1956, went public and raised fresh capital amounting to around $226 million with a total of 13.3 million new shares.
Fabulous performance since IPO
The electric vehicle manufacturer’s investors were surprised with a hefty price increase on the day of the initial listing. The share climbed from $17.00 to $23.89 on the first day of trading on the NASDAQ and gave the first investors a performance of almost 41 percent within just a few hours.
Now, more than 13 years after the IPO, the stock is trading at around $266.50 (closing date on September 19, 2023) and therefore around 1,467 percent above the issue price from 2010. However, the share’s all-time high is still significantly higher : In November 2021, a Tesla share was traded for $409.97 – a price increase of 2,311.6 percent since the IPO. But even these numbers don’t do justice to Tesla’s incredible performance, as the company has already carried out two stock splits. In the first capital measure, on August 31, 2020, investors received four additional shares per share, so the split ratio was one to five. The second stock split was carried out around two years later, on August 25, 2022: Here the ratio was one to three, so Tesla investors got two more shares booked into their portfolio for each share they held.
Even if the two capital measures are intended to make the stock more attractive for small investors due to their visually cheaper price, but do not affect the company’s stock market value, they still dilute the view of the actual success: If you calculate the two stock splits at the IPO price of 17 US dollars -Dollar, the issue price is now only 1.13 US dollars – based on the current share price, this would result in a price increase of 23,484 percent.
However, investors who invested in Tesla at an early stage had to blindly believe in the vision of the founders and the Tesla CEO and his team and trust that not only will the electric car become a trend one day, but also that right now The Musk Group’s models will become the ultimate in the industry.
Shortsellers have lost billions
The increase in value that early Tesla investors have seen has, on the other hand, caused investors who bet on falling Tesla share prices to lose billions in recent years. However, opinions differ when it comes to assessing Tesla shares: analysts rate the share quite differently.
Experts are wavering between hope for the new AI business area, which could bring Tesla an additional boom, and concern about increasing market competition in the automotive segment. In addition, company boss Elon Musk is, on the one hand, considered to be primarily responsible for the company’s success, but at the same time there is an increasing number of critical voices criticizing him due to his management style but also because of his involvement in numerous other, labor-intensive companies, such as SpaceX, X (formerly Twitter) or The Boring Company as a huge risk for the electric car manufacturer.
Tesla is scaring established car manufacturers
There are very few company shares traded on the stock market that are as controversial among experts, analysts and investors as Tesla shares.
But regardless of whether you are one of the group’s enthusiasts and investors or one of the skeptics and short sellers, the achievements of Elon Musk and his team speak for themselves. When it went public, the company only produced the Lotus-like Tesla Roadster, which looked more like a toy for adults than a solid electric car. However, with the production and sale of other types of vehicles, such as the high-end sedan Model S, the mid-range vehicle Model Y and the luxury SUV Model X, Musk was able to show that he wanted to set new standards in the automotive industry with his group.
The Tesla founder taught established car manufacturers to fear, at least after the introduction of the Model 3 in 2017. With a vehicle price of around 35,000 US dollars at the time, Musk impressively demonstrated that he wanted to establish his brand not only in the expensive luxury class, but also in the broad mass market. This strategy paid off in the following years and Tesla’s various vehicle types have long since become an integral part of the streets of many large cities.
Tesla’s model range has now been expanded again – pickup fans can now also buy the US company’s first commercial vehicle: the Tesla Cybertruck. In addition, the original Tesla, the Roadster, is to appear in a new edition.
In addition, there are the CEO’s plans to make Tesla a leading provider in the field of autonomous driving. He promises a fleet of autonomous robotaxis that will even make money for their owners. In addition, Tesla is fully embracing the AI trend with its supercomputer Dojo. The car manufacturer wants to use this to train artificial intelligence for self-driving vehicles – a potential trillion dollar market.
If the bet works, Tesla shares should also continue to rise.
Editorial team finanzen.net
Selected leveraged products on Tesla
With knock-outs, speculative investors can participate disproportionately in price movements. Simply select the lever you want and we will show you suitable open-end products on Tesla
The leverage must be between 2 and 20
Advertising