Tesla Motors, the California-based electric car manufacturer yet to turn a profit, saw its stock market valuation surpass that of Ford, one of the oldest automakers in the world, this week.
Even more remarkably, the company’s value continued to claim to nearly hit number one April 4, almost overtaking industry leader General Motors.
Elon Musk’s upstart outfit surged after announcing it delivered 25,418 vehicles to customers in the first quarter of 2017, a wowzers 69-per cent jump over the same period in 2016 edging up over market analysts’ predictions, according to a Reuters news report.
Musk took to Twitter following the news to take a swing at naysayers who predicted his company was on its way out of business following delays in the launch of its forthcoming Model 3 compact sedan.
Ironically, part of Tesla’s stock market growth can be attributed to that very car, the promised price of which – USD $35,000 – will put the company’s products within reach of an entirely new demographic.
Its existing Model S and Model X are distinctly upscale models (based on price, at least) and a more affordable vehicle could help Tesla establish a reputation with a more mainstream audience.
The Model 3’s arrival could draw attention away from problems with its Model X crossover, which arrived more than a year later than promised, and then generated numerous build quality complaints from early adopters who rushed to be among the first to own one.
Regardless, while Ford may hold a key position in the history of the auto industry, Tesla’s relative stock market success could be attributed to the double-barreled trendiness of its offerings being electric vehicles that are at the forefront of autonomous driving technology today.