The CEO of Tesla, has historically been able to err on the side of being perhaps somewhat striking in his plans for the future or even somewhat stubborn on certain issues. A few hours after making public the financial results of Tesla during the third quarter of 2022, Elon Musk has had a few words for his investors to whom has made an appeal announcing that the electric car company could become more valuable than Apple and Saudi Aramco combined.
This assessment is certainly not anything, since Apple is currently the most highly valued company in the world and was the first to exceed a billion dollars a few years ago. As of today, Apple is worth $2.3 trillion, while Saudi Aramco is worth $2.1 trillion. That is, Elon Musk’s expectations speak of Tesla could reach a value of more than 4 billion dollars in the next years. Could be like this?
At the time of this writing, Tesla is worth $650 billion, thus placing itself as the most valued automobile company in the world. However, Elon Musk thinks that this value could be very short in real figures and he has already announced a movement so that a good part of these are worth at least double.
Apparently, the leaders of Tesla (including Elon Musk) would be planning a share buyback program. This is when a company buys its own shares at the current market price and sells them again later for a higher cost. This is a sign that the company in question believes its shares are undervalued and, through this execution, significantly increase the value of your company.
Elon Musk confirmed during his speech that the plan still has to be developed, but that its objective speaks of allocate a total of between 5,000 and 10,000 million dollars for this purpose. “A while back I said in an earnings call that I thought Tesla might be worth more than Apple, which was worth around $700 billion at the time. I am now of the opinion that we can far exceed Apple’s current market capitalization. I see a way for Tesla to be worth more than Apple and Saudi Aramco combined, ”said the CEO in his presentation in front of investors.
The CEO of the electric car company affirms that Tesla is one of the companies with the best forecasts for the future and added that even in a time of recession, the company could still continue to generate “significant money”.
Tesla currently has a total of 5 vehicles on the market: Tesla Model S, Tesla Model X, Tesla Model 3, Tesla Model Y and Tesla Semi. Advances in the development of new models are currently focused on completing the start of production of the Tesla Cybertruck, which should arrive in 2023, as well as the Tesla Roadster, whose arrival date is unknown. However, the firm is thinking of new business alternatives and the possibility of taking the step of become a technology company in the wake of its latest creation: the Tesla Optimus.
