Published , by Donovan Erskine
Published , by Donovan Erskine
Tesla has been one of the better-performing companies over the past several years, as more consumers and manufacturers alike begin to adopt electric vehicles. Most recently, Hertz placed an order for 100,000 Tesla vehicles. Not only was this excellent news for the electric vehicle manufacturer, it also pushed Tesla (TSLA) past the $1 trillion valuation milestone.
It was on October 25 that we learned that Hertz had placed an order for 100,000 Tesla vehicles. The car rental company plans to offer the vehicles as a part of its service in The United States and across Europe. This announcement meant great news for Tesla’s (TSLA) stock, as shares soared following the news. It was enough for the company to reach a $1 trillion valuation, putting it in exclusive company. Only Apple, Microsoft, and Amazon have hit the $1 trillion dollar market cap.
At its peak, Tesla (TSLA) shares hit $998, a new record for the company. Hertz order is the biggest order of electric vehicles ever placed and will bring in approximately $4.2 billion for Tesla. Hertz plans to add the new Tesla vehicles to its fleet at some point in 2022.
Tesla has seen some exceptional performance despite issues caused by the pandemic. Just earlier this week, the company stated that the chip shortage was a leading cause of production issues, despite beating expectations in its Q3 2021 earnings report.
Tesla’s valuation didn’t remain at $1 trillion for very long, but it hit the rare milestone nonetheless. This news is not only a big deal for Tesla and its shareholders, but for the future of electric vehicles in general. For more on Tesla and its business ventures, be sure to stick with us here on Shacknews.