Apr 4, 2017
Tesla overtakes giant Ford in market value
Tesla has become the second-largest US car maker in terms of market capitalization, displacing Ford, whose sales lagged amid concerns about the ability of the US market to keep growing.
Many major auto makers reported US sales declines in March compared to a year ago, but Tesla over the weekend said it saw a huge jump in vehicles delivered to consumers in the first three months of the year.
That was enough to send the electric car maker's stock soaring Monday, even as investors punished major car brands for reporting lower-than-expected March sales.
At market close, Tesla was up 7.3 percent to $298.52 for a market capitalization of $48.63 billion.
Ford, which at one point was down as much as three percent, had a market capitalization of $45.47 billion. At its low, GM fell 4.4 percent, but maintained a market capitalization above $50.9 billion.
Tesla founder and CEO Elon Musk marked the occasion on Twitter with a dig at short sellers, investors who bet that a company's stock will decline.
"Stormy weather in Shortville," Musk wrote.
For the industry as a whole, it may indeed be stormy weather.