Tesla topped $ 420 for the first time on Monday, as new financing held by banks in China added optimism, supporting a one-month rally. Musk, who was sued by the U.S. Securities and Exchange Commission last year for falsely tweeting that he had funds to make the company private at that price, joked about the milestone on his favorite social media platform.
Tesla advanced as much as 4% to $ 422.01, increasing for the fourth day in a row. The electric carmaker is said to have secured more than 10 billion yuan ($ 1.4 billion) in local bank financing for its Shanghai factory as it prepares to start Delivery of China-made Model 3 sedans in the country. An announcement is likely to be made as soon as this week, according to a person familiar with the matter.
The SEC said in September 2018 that Musk chose $ 420 as the price at which Tesla would go private for a marijuana prank that would impress his girlfriend. In cannabis culture, April 20, or 4/20, is celebrated as a day to smoke marijuana.
Musk and Tesla agreed to pay fines of $ 20 million as part of a deal that barred him from serving as president for three years. The company also added new independent directors to its board of directors and was asked by its billionaire co-founder to hire or appoint a securities attorney to pre-approve certain social media posts.
Tesla shares are up 66% since reporting a surprise gain on October 23. In addition to starting sales of locally made Model 3s in China soon, the company has accelerated the introduction of its newest model, the Model Y crossover, for the summer of next year. instead of falling.
Jonas, who calls Tesla the equivalent of a withholding, reiterated that Tesla shares could be worth $ 500 in a bullish scenario, giving the company a valuation of roughly $ 100 billion. It now has a market capitalization of around $ 76 billion.
