The future will be ruled by the electric car.
Toyota is an absolute powerhouse of global industry. The widely respected car company makes everything from the Tundra to the Prius, catering to all manner of tastes and requirements. It has taken the company over 80 years to get to where it is now, enduring tsunamis, a world war, and multiple financial meltdowns. But history doesn't always work in the future. Tesla has now overtaken the Japanese giant as the world's most valuable carmaker, with shares in Tesla reaching $1,134 apiece this week. This gave the automaker a market value of $209.47 billion - around four billion more than what Toyota is worth.
This is despite Toyota selling approximately 30 times more cars in 2019 than Tesla and returning 10 times more revenue. Another interesting factor is that this comes in the wake of Tesla CEO Elon Musk's apparent Twitter meltdown that saw Tesla's value drop by $14 billion in May. It seems that controversial outbursts aren't enough to diminish all faith in the company, and it has remained a profitable company in 2020. This shows that investor confidence in electric vehicles is on the rise, and the fact that Tesla has become something of a household name in the EV world makes it perfectly poised to remain at the top well into the future.
When it comes to sales, Toyota still leaves Tesla trailing in its substantial wake, selling enough cars to see an influx of $281.2 billion from sales while Tesla's limited range only returned $24.6 billion in new car sales. With claims that the Tesla Model S will have a 400-mile range, it is becoming just as attractive as other automakers, even those that don't revolve around electric vehicles. According to stockbroker Jefferies, Tesla is "significantly ahead of peers in product range, capacity, and technology." Still, the likes of Lucid will be aiming to get a large slice of that electric car pie, and we can't wait to see the industry progress even further.