TESLA HITS $1 TRILLION MARKET VALUE, MUSK’S NET WORTH SOARS AS IT JOINS EXCLUSIVE CLUB IN THE NEW YORK

Tesla hit a new high, its now worth over $1 trillion in market value. 

The electric vehicle maker crossed the milestone early Monday afternoon as investors drove the stock to $1,024.86 per share. The company is the first to reach this level in just two trading days. 

However, this came to reality yesterday when great electronic car company Tesla attained a $1 trillion market cap — a rarefied level previously reached only by Apple, Microsoft, Amazon and Alphabet — thanks to a roughly $4 billion deal to sell 100,000 vehicles to the rental car company Hertz. But it’s worth remembering how Elon Musk’s company differs from the rest of that group:

The debate over Tesla’s valuation rages on. Tesla is worth more than virtually every other major carmaker in the world combined. Analysts are squarely of two minds about its current level. In the bull camp: Daniel Ives of Wedbush Securities, who tweeted yesterday, “Tesla hitting $1 trillion is just for starters.” In the bear camp: Craig Irwin of Roth Capital Partners, who wrote in a client note last week that Tesla’s stock — which then traded at 173 times next year’s earnings — was “egregiously overvalued.”

What’s undeniable is Musk’s rapidly rising net worth. Tesla’s latest accomplishment puts its C.E.O. above Jeff Bezos as the world’s richest person, and Musk could be setting a new high bar for executive compensation. Three years ago, when Tesla was worth $50 billion, the company’s board promised Musk a huge grant of stock if he could, among other things, bolster the company’s market value beyond $650 billion. Last week, Musk collected a stock grant worth roughly $8 billion. He could qualify for another $8 billion stock payout as soon as the middle of next year.