Tesla’s CEO claims he “sees a path” for the electric-car maker to be worth more than tech giant Apple and oil company Saudi Aramco combined – despite currently being valued at less than one-third of each corporation.
Tesla CEO Elon Musk has boldly claimed the US electric-car company could be worth more than the combined value of the world’s two richest companies – tech giant Apple and oil company Saudi Aramco.
Earlier today, Mr Musk told Tesla shareholders he “sees a path” to overtake two of the world’s most valuable companies.
Apple is the world’s highest-valued company today with a market capitalisation of $US2.31 trillion, while Saudi Aramco – the world’s biggest oil company – is worth approximately $US2.09 trillion.
Market capitalisation – or market cap – is the total value of a company’s stock shares, calculated by multiplying the number of shares a company has by the value of its shares.
“Several years ago, I said on an earnings call that I thought it was possible for Tesla to be worth more than Apple, which at the time I think was worth about $US700 billion,” Mr Musk told Tesla investors in an online call this morning Australian time.
“Now, I’m of the opinion that we can far exceed Apple’s current market cap. In fact, I see a potential path for Tesla to be worth more than Apple and Saudi Aramco combined.
“That doesn’t mean it will happen or that it will be easy – in fact it will require a lot of work, some very creative new products – but for the first time I see a way for Tesla to be roughly twice the value of Saudi Aramco. This is the first time I’ve seen that potential.”
In November 2021, Tesla reached a peak value of $US1.22 trillion. But by May 2022, Tesla’s share prices had entered free-fall, reportedly caused by unfavourable market conditions and failure to deliver on product timelines.
Tesla is currently listed as being worth about $US696 billion.
In April 2022, Mr Musk declared he would buy social media platform Twitter for approximately $US44 billion, before announcing his plans to terminate the deal in July.
US publication CNBC reports Mr Musk still intends to buy Twitter, although he must do so before October 28 to avoid a trial for delaying the deal.
Mr Musk claims Tesla is investigating the possibility of instigating a share buyback program, in which a company buys its own shares at the market price to allow the remaining stocks to increase in price.
Between July and September 2022, Mr Musk claims Tesla delivered 35 per cent more electric cars to customers than between April and June, although it failed to reach its production targets due to parts shortages.
Despite this, Tesla’s revenue of $US21.45 billion throughout July and September 2022 is a new record for the company.
| Year | Tesla global sales, change from prior year (based on Tesla financial reports) | Vehicles produced |
| 2022 | 908,573 (January to September) | Model S, Model X, Model 3, Model Y |
| 2021 | 936,172, up 87.4 per cent | Model S, Model X, Model 3, Model Y |
| 2020 | 499,550, up 36 per cent | Model S, Model X, Model 3, Model Y |
| 2019 | 367,500, up 50 per cent | Model S, Model X, Model 3 |
| 2018 | 245,240, up 138 per cent | Model S, Model X, Model 3 |
| 2017 | 103,120, up 35 per cent | Model S, Model X, Model 3 |
| 2016 | 76,230, up 51 per cent | Model S, Model X |
| 2015 | 50,557, up 60 per cent | Model S |
| 2014 | 31,655, up 41 per cent | Model S |
| 2013 | 22,477, up 625 per cent | Model S |
| 2012 | 3100 | Model S, Roadster (2008 to 2012) |
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