Invest successfully has always been the obsession of many and one of the most on the crest of the wave is undoubtedly Tesla. Shares in the carmaker led by histrionic Elon Musk are closing a particular month, despite some recent hiccups, including a flawed launch of its driver assistance software and confusion over whether Hertz actually struck a deal with the automaker. to buy 100,000 vehicles.
Despite everything, Tesla’s stock has risen more than 50% since the beginning of October, and the company’s market cap has grown to more than $ 1.2 trillion. It surpassed Toyota, now the second largest carmaker in terms of market cap, last year alone, but is now nearly $ 900 billion more valuable. However, Tesla is also one of the most shortened, or staked, names on Wall Street. Experts like CNBC’s Jim Cramer have described Tesla’s stock as “ever rising out of nowhere”.
Investing in Tesla: the yield at 1.5 and 10 years
A post on CNBC reveals how much money you would have today if you invested $ 1,000 in Tesla one, five and ten years ago.
If you had invested in Tesla last November, when the stock was worth just over $ 400 per share, you would have nearly tripled your money. An investment of $ 1,000 on November 2, 2020 would be worth around $ 2,940, which represents a return of 193%. Going back a few years, the return would have been even greater. Five years ago, on November 2, 2016, Tesla was trading at around $ 38 per share. An investment of $ 1,000 would have grown 3.025% and would be worth about $ 31,286 as of Wednesday morning. Over the same period, the S&P 500 Index would have given you a return of 142.4%.
If you had invested in Tesla in 2011, you would have had a five-figure return. In these 10 years, Tesla has gone from selling only the Roadster to offering the S, 3, X and Y models. The company also announced the launch of the Cybertruck and Tesla Semi, but with no specific dates.
A $ 1,000 investment in Tesla in November 2011 would be worth just over $ 204,000 now, with the share price rising from $ 5.74 to $ 1,229 over those 10 years. This is more than a 20,000% return. A similar investment in the S&P 500 would have yielded a 357.4% return. But that doesn’t mean the S&P is a worse investment. In fact, most experts, including legendary investor Warren Buffett, say it’s the best place for most people to put their money because it holds every stock in the index, making it automatically diversified.