Tesla’s market capitalization is previous Fb, the fifth largest US firm

Elon Musk, founder of SpaceX and CEO of Tesla Inc., is coming to the Axel Springer award ceremony in Berlin on December 1, 2020.

Liesa Johannssen-Koppitz | Bloomberg | Getty Images

Electric vehicle maker Tesla outperformed Facebook in market capitalization on Friday.

Tesla stock closed more than 7%, increasing its market capitalization to $ 820 billion. Facebook ended the day with a market cap of $ 763 billion.

The increase makes Elon Musk’s auto company the fifth largest company in the large-cap benchmark when you add up Alphabet’s share classes. Only Apple, Microsoft, Amazon and Alphabet follow now.

While the brand is largely symbolic, it means Tesla’s dramatic rise in just a short time. Tesla became the first publicly traded U.S. automaker valued at $ 100 billion in January 2019. Just 10 months later, the company passed a market cap of $ 500 billion. The stock gained more than 700% in 2020.

Tesla joined the S&P 500 in December and ended a strong year of performance. Under Musk’s leadership, the company has had five profitable quarters in a row. Tesla delivered 499,550 vehicles in 2020 and is currently building new factories in Austin, Texas and Brandenburg, Germany, to increase production and sales volume, among other things.

The Facebook share gained around 32% over the course of 2020.

Tesla shares rose this week after very optimistic news from Morgan Stanley analyst Adam Jonas and news of a Democratic majority in the Senate following the Georgia runoff.

President-elect Joe Biden aims to create 1 million new jobs in the domestic auto industry, expand the charging infrastructure for electric vehicles in the US, and expand solar and other renewable energies as part of his clean energy plan, among other things. It would supposedly prove easier for him to push these goals forward with a Democratic majority in the Senate. The Democrats sealed their majority in the chamber this week after the Georgia runoff elections.

According to CNBC calculations, Thursday’s Tesla stock price surge pushed Musk past Jeff Bezos, who has been the richest person since 2017 and is currently valued at around $ 184 billion. Musk launched around $ 27 billion in 2020 and was barely among the 50 richest people.

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