Performance of Tesla Shares

Tesla, an American electric car manufacturer, hit record highs. According to Tesla, Inc. (TSLA) (2021), in 2020, the value of Tesla shares has grown almost tenfold – from $ 88.6 in early 2020 to $ 864.2 on January 27, 2021. Shead (2021) notes that much of this growth was driven by expectations that the electric car producer would be included in the S&P 500. However, according to Tesla, Inc. (TSLA) (2021), peaking at $ 900.13 on February 25, 2021, the company’s quotes fell 24.5%, closing trading on July 2 at $ 678.9 per share. Although today there is a decrease in the company’s quotes, there is room for growth because the company showed impressive results against the background of insufficient production capacity.

The success of Tesla shares is primarily due to the record number of sales. Shead (2021) claims that by the end of 2020, the company’s sales amounted to about 500 thousand vehicles. Moreover, the current trend underscores growing investor confidence in the future of electric cars and Tesla’s transformation from a niche automaker to a global leader in green vehicles. The increase in the value of Tesla shares is associated with significant subsidies from the states. In many countries, including the USA, China, and Saudi Arabia, the company’s cars can be bought with a tax deduction. It helps to enhance the company’s sales, which significantly increases the value of the stock. Therefore, the success of Tesla shares is due to the increase in sales, the rise in popularity of electric vehicles, and subsidies from state governments.

Cite this paper

Select style

Reference

StudyCorgi. (2022, August 15). Performance of Tesla Shares. https://studycorgi.com/performance-of-tesla-shares/

Work Cited

"Performance of Tesla Shares." StudyCorgi, 15 Aug. 2022, studycorgi.com/performance-of-tesla-shares/.

* Hyperlink the URL after pasting it to your document

References

StudyCorgi. (2022) 'Performance of Tesla Shares'. 15 August.

1. StudyCorgi. "Performance of Tesla Shares." August 15, 2022. https://studycorgi.com/performance-of-tesla-shares/.


Bibliography


StudyCorgi. "Performance of Tesla Shares." August 15, 2022. https://studycorgi.com/performance-of-tesla-shares/.

References

StudyCorgi. 2022. "Performance of Tesla Shares." August 15, 2022. https://studycorgi.com/performance-of-tesla-shares/.

This paper, “Performance of Tesla Shares”, was written and voluntary submitted to our free essay database by a straight-A student. Please ensure you properly reference the paper if you're using it to write your assignment.

Before publication, the StudyCorgi editorial team proofread and checked the paper to make sure it meets the highest standards in terms of grammar, punctuation, style, fact accuracy, copyright issues, and inclusive language. Last updated: .

If you are the author of this paper and no longer wish to have it published on StudyCorgi, request the removal. Please use the “Donate your paper” form to submit an essay.