Tesla is the world’s largest automaker by market cap and could acquire any of the world’s legacy automakers.
When Tesla’s market cap soared from the earth to the moon, many wondered if Tesla might one day buy legacy automakers.
According to the data, Tesla has a market capitalization of over $ 554 billion right now, while the second-largest automaker, Toyota is worth just over $ 222 billion, Ford is worth slightly more than $ 36 billion. dollars, GM is worth almost $ 64 billion, and Fiat Chrysler Automobiles is worth almost $ 16 billion. In other words, the value of these four carmakers on the stock market is about 61% of Tesla.
The stock market can’t be the real world, but it is undeniable that real money is passed around in circles based on what people think about the future of publicly traded companies – and what they think others think about the future of publicly traded companies. Even if you think Tesla’s share price is a little overpriced, the difference between this company and any other carmaker is huge. Tesla is the world’s largest automaker by market cap and could acquire any of the world’s legacy automakers.
It is on the biggest wave in history leading to the electric vehicle revolution, while many of the legacy automakers are struggling to replace several key organs without dying. Thus, majority think that Tesla will buy up some of the legacy auto brands.
Tesla CEO Elon Musk received the 2020 Axel Springer Award in Berlin. In an interview with Axel Springer CEO Mathias Döpfner, Musk was asked about such an opportunity and he said that they are not going to conduct a hostile takeover, and if there was a friendly conversation, if someone pointed out teaming up with Tesla, they could certainly talk about it. “But, you know, we don’t want this to turn into a hostile takeover situation,” he stated.
Tesla is much more than just a car company at this point. It is a battery manufacturer, potential battery manufacturer, artificial intelligence developer, infotainment company, leading designer and operator of charging stations, nascent auto insurance company.