If you thought Tesla had reached its climax with the unveiling of its one-of-a-kind vehicle, the Tesla Cybertruck, you were wrong. The automaker has attained another milestone – nudging aside Volkswagen to become the second most valuable car manufacturer in the world.

How did this happen?

The American automaker experienced a tremendous increase in its stock value. For the past three months, Tesla stock has increased to more than twice its previous value. This shot up its market capitalization to a mind-blowing $100 billion last Wednesday. This was the first time a carmaker attained such heights.

In recent times, the company led by Elon Musk has outshined older and more experienced automakers including Honda (T:7267), BMW (DE:BMWG), Daimler (DE:DAIGn) and General Motors (N:GM). Volkswagen was a strong contender in the race. It put up a good fight with its $99.4 billion market value until it was overpowered by Tesla last Wednesday.

Tesla might be taking over the automobile industry with its $100 billion stock value, but it is still behind heavyweight carmaker Toyota which has $233 billion. And from all indications, it is still far from coming close to Toyota let alone surpassing it.

Culled from https://naijauto.com/market-news/tesla-overthrows-volkswagen-becomes-number-2-automaker-5960