Hertz said on Monday that it would convert more than 20 percent of its rental fleet to Tesla’s electric cars by the end of next year, an announcement that helped propel Tesla’s stock value beyond $1 trillion for the first time.
Tesla’s stock closed at $1024.86, up more than 12% on the day and giving the company a market value of $1.03 trillion.
The Wall Street Journal notes that the market caps of the biggest nine automakers need to be added to get to Tesla’s market cap.
Yes, Tesla sells 1/10th the number of cars that Volkswagen does, but it will deliver double the cars this year, compared to what it had delivered in 2020. And the stock market bulls argue that Tesla is technically not a car company: it’s a technology company.