(Reuters) – Tesla shares rose to record heavy trading on Thursday, with the share market value of top electric car maker Facebook being the first time.
Shares in the Elon Musk-led company rose nearly 8% to end the session at $ 816, putting its market cap at $ 774 billion and making it the fifth most valuable company on Wall Street, just behind Alphabet, the Google’s parent company and before Facebook.
Facebook’s stock market value was $ 765 billion after its shares rose roughly 2%, according to data from Refinitiv.
(GRAPH: Tesla’s stock market value is at its highest Facebook -)
More than $ 39 billion worth of Tesla shares were bought and sold during the session, a record for Tesla and more than the next three most traded companies combined, which were Apple , Alibaba Group Holding and Amazon.com.
(GRAPH: Tesla dominates Wall Street -)
Tesla, with an increase of more than 700% over the past 12 months, has become by far the most valuable auto company in the world, despite manufacturing being a fraction of rivals such as Toyota Motor, Volkswagen and General Motors.
Musk surpassed Amazon’s Jeff Bezos to become the richest person in the world, Bloomberg News reported Thursday.
Tesla’s latest hike came after RBC upgraded the stock’s rating to “sector performance” from “Underperform.”
RBC analyst Joseph Spak said in his research note that he previously underestimated Tesla’s ability to use its soaring share price to raise capital to finance the company’s expansion.
“We took a fresh look at the growth opportunity, what we did wrong with TSLA’s positioning and valuation, and concluded that the stock price itself is likely to self-come true for TSLA’s growth and strategy,” Spak wrote. .
Analysts, on average, expect Tesla to report $ 1.2 billion in net profit for 2020, up from $ 5.8 billion in projected net profit from GM and $ 27.1 billion in expected net earnings from Facebook, according to Refinitiv.
Reporting by Noel Randewich, editing by Nick Zieminski and Dan Grebler