$100 in Tesla shares turn into $1,840; will semi truck launch boost the stock further?

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Published: November 17, 2017 2:11:06 PM

The stock of Elon Musk-led Tesla Inc is listed on NASDAQ and is one of the best automobile shares in the world as far as the returns are concerned.

Tesla’s all-new electric semi truck. unveiled in California, US. (Image: Reuters)

Tesla shares have grown multifold since inception on the US stock markets. The stock of Elon Musk-led Tesla Inc is listed on NASDAQ and is one of the best automobile shares in the world as far as the returns are concerned. Tesla Inc marked its stock market debut in 2010 at an issue price of $17 per share, the company issued a total of 13,300,000 shares in its IPO. Since 2010, the stock of Tesla has grown 18.38 times, which implies that a sum of $100 invested in the shares of Tesla at the time of IPO has now become $1,838.23 in the span of just about seven years.

This year alone shares of Tesla have returned about 46% so far which makes the company the second most valuable automaker in the US behind General Motors. The current market capitalisation of Tesla Inc is about $52.5 billion (as per Thursday’s closing price) while General Motors’ market capitalisation stood at $63.3 billion. The key benchmark index NASDAQ Composite had grown 26.19% in the year 2017 while Tesla shares have jumped 46.23% to $312.5.

Yesterday, Tesla Inc unveiled its heavy duty electric Semi Truck along with an updated version of Tesla’s first production vehicle Roadster. The semi truck will incorporate the autopilot system designed by Tesla, which will have the ability to set the speed and slow down automatically in traffic. Elon Musk said that some semi trucks would be able to travel in a convoy even, following each other. The updated version of the Roadster will have a top speed of 250 mph (402 kph) and is likely to be on roads in 2020 with a base price of $200,000.

“You’ll be able to travel from LA to San Francisco, and back, at highway speed without recharging. The point of doing this is to just give a hardcore smackdown to gasoline cars. Driving a gasoline sports car is going to feel like a steam engine with a side of quiche,” Elon Musk said at the launch event. Musk has described electric trucks as Tesla’s next effort to move the economy away from fossil fuels through projects including electric cars, solar roofs and power storage, Associated Press reported.

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