After gaining an entry into the S&P 500 Index, there was an extensive increase in the shares of Tesla. The shares have risen by a great percentage of 700% this year and rose by 70% post on the mid of November. This company is all set to become the most valuable company that has ever got admittance to the main benchmark of Wall Street on Monday. It will account for around 1% of Wall Street’s index.
Overall Effect of Tesla’s Debut on the S&P 500 Index
If we talk about the value, then Tesla has become the most traded stock on Wall Street in terms of its value. It has surpassed Apple Inc. in that case. In each session, in the past year, shares of around $18 billion worth have got exchanged whereas the same value in the case of Apple is $14 billion.
Tesla has become the largest company in the stock market to join the S&P 500 index (in terms of the value of the company). Elon Musk, the head of this company has boosted up his income by as much as $139.7 billion which is a very broad rise from a mere $9 billion to a wholesome value of $167.3 billion.
This drastic increase in the income within a single year has made his net worth of $167.3 billion just less than the net worth of the richest man in the world, i.e. Jeff Bezos (founder of Amazon.com Inc.) whose net worth is $187.3 billion.
Tesla’s entry into the S&P 500 index is going to affect many other major stocks as it now stands in complete competition with all other companies. 700% yearly raise and a rise of 70% after the mid of November is a very big deal for the company, its stocks, and very importantly, the shareholders of the company as well.
The Current Statistical Information on Tesla Inc. (NASDAQ: TSLA)
- 52 Week Range: $70.10 – $695.00
- Average Volume: 48,315,939
- Market Capital: $658.791B
- Forward Dividend and Yield: N/A (N/A)
Should Investors invest in Tesla’s Stock Right Now?
Tesla’s stock has received the label of being a volatile one but the situation is not the same anymore. It has shown a very wide rise recently and this makes it a buy now stock. The stocks have recorded a new closing price of $695 which is a very huge amount. In consideration of the 52-week range mentioned above, we can see the price has been as low as $70.10, and now, it is as high as $695. Therefore, even though it has become expensive, it has also become strongly profitable for its investors.
Tesla, at present does make a good choice for the investors undoubtedly because of the visible fast growth of the company. The company is not showing any signs that will slow down in the upcoming times and therefore, the investors can rely on it for making long-term investments.