Tesla hits $1 trillion milestone on Wall Street - DALTONHURD

Tesla hits $1 trillion milestone on Wall Street

The American group also rose to the top of the European bestsellers in September.

Tesla has just broken a new record. The manufacturer has seen its capitalization exceed one trillion dollars on the stock market. By crossing this symbolic threshold, it has thus joined the “1 trillion club” of companies, including Apple, Amazon, Microsoft and Alphabet (Google).

A performance that was made possible thanks to the largest order ever received in its history. Hertz, the American vehicle rental company, ordered 100,000 cars from it for a total amount of 4.2 billion dollars. The information, revealed by Bloomberg, caused Tesla’s share price to jump by 12.66%, ending at 1,024.86 dollars at the close of the New York Stock Exchange and allowing it to pass the famous milestone.

Mark Fields, the acting chief executive of Hertz, said in an interview with Reuters that the order would be for Tesla Model 3s, which would be delivered by the end of next year: “We are convinced that it will be a competitive advantage, affirmed the leader. We want to be a mobility leader. Providing customers with the experience of electrified vehicles is a top priority.” Hertz has come a long way. He filed for bankruptcy protection in May 2020 at the start of the Covid pandemic. Its operations in Europe, Australia and New Zealand were not affected. He came out last July.

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Its customers will be able to rent a few Tesla Model 3s from the beginning of November in the main rental agencies in the United States and in some European cities, the company said. With this order, battery-powered vehicles should represent 20% of the rental company’s fleet. Hertz, which has about 430,000 to 450,000 vehicles worldwide, will also look to other EV makers. The car rental company is currently installing thousands of chargers across its network. Customers who rent a Tesla Model 3 will also have access to Tesla’s 3,000 superchargers in the United States and Europe.

The electric acclaimed in Europe

Tesla also imposed itself on the European podium since for the first time in the history of the automobile, it is a 100% electric premium car, American moreover, the Tesla Model 3, which ranked first. of the best European sales in September. With 24,591 sales, this model – from 37,850 euros each – is ahead of two much more economical vehicles: the Renault Clio (18,214 sales) and the Dacia Sandero (17,988), according to the ranking established by Jato Dynamics.

How to explain the breakthrough of Tesla in the best sales of new cars? The new home market shrank by 25% compared to September 2020, to 964,800 units. It gives pride of place to electrified models (electric and plug-in hybrids) even if sales of gasoline vehicles continue to dominate. In September, low-emission vehicles in Europe posted monthly growth of 44% to 221,500 units, while diesel registrations fell 51% to 167,000 units. “In addition to incentives, manufacturers have improved their offer by offering more models and better purchasing conditions, observes Felipe Munoz, analyst at Jato Dynamics. Many of them reserve their limited supply of semiconductors for the production of electrified vehicles, rather than vehicles with internal combustion engines”.

Another explanation for the success of the Model 3: September has historically been a strong month for the American manufacturer’s registration results in Europe, with an average of 68% of its deliveries in the third quarter since 2018. Last month even accounted for 74% of third quarter volume.


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