Tesla’s market value is up to 100 billion dollars. The electric vehicle company takes the 2nd most valuable auto firm spot from Volkswagen.
This new valuation will see Tesla CEO, Elon Musk, collect a 2.6 billion dollar compensation package contingent on the firm hitting and sustaining that valuation for upto 6 months.
Mr. Musk will receive the payout in shares over 10 years.
The top spot remains firmly clenched by Japanese car maker, Toyota whose valuation currently stands at 230 billion dollars.
Tesla’s stock price has been on a steady rise since October 2018 after it posted a profit.
Analysts are also attributing Tesla’s stock price rise to its new Shanghai factory, and meeting its production goals.
Related article: Tesla could soon add Disney+ to its Tesla Theater platform
Telsa reported having delivered 367,500 cars in 2019. This is double the number delivered in 2018.
The Shanghai factory could further boost the firm’s sales as it taps into the massive Chinese market.
While the stock price is up, Tesla’s sales are still struggling. Volkswagen’s sales in 2019 topped 11 million, while Toyota in turn sold 9 million units.
Tesla has also experienced technical challenges. Some car owners complained about their vehicle’s accelerating unprompted, and spontaneous battery fires.
