Tesla set to breach $500 billion market value, Musk now centibillionaire

Reuters

Posted at Nov 24 2020 08:13 PM

Tesla set to breach $500 billion market value, Musk now centibillionaire 1
Tesla Inc CEO Elon Musk speaks onstage during a delivery event for Tesla China-made Model 3 cars at its factory in Shanghai, China January 7, 2020. Aly Song, Reuters file photo 

Tesla Inc was set to breach $500 billion in market value on Tuesday, as its shares extended a meteoric rally that has seen the stock gain more than six times this year.

Shares of the electric-car maker have risen nearly 28 percent since the S&P Dow Jones Indices confirmed they would add the company to Wall Street's benchmark index from Dec. 21.

Its shares were up 3.5 percent at $540.53 in premarket trading and will have to open above $527.48 to hit the $500 billion mark.

The recent rally has also boosted Chief Executive Officer Elon Musk's net worth by $7.2 billion to $127.9 billion, helping him go past Bill Gates to become the world's second-richest person, according to the Bloomberg Billionaires Index.

Tesla has become by far the world's most valuable automaker, despite a production that is a fraction of Toyota Motor Corp, Volkswagen AG or General Motors Co.

Shares of other electric vehicle (EV) makers have also risen in the last few months as President-elect Joe Biden made boosting EVs a top priority during his campaign. 

(Reporting by Subrat Patnaik in Bengaluru; Editing by Arun Koyyur)