The Standard & Poor’s 500 Index, also known as the S&P 500, is one of the most important and influential stock indices in the United States. It is considered the most representative index of the real market situation and gives new members significant media and brand image support. After the first attempt in September, Tesla has finally been admitted to this select club, of which she will be a part from December.
Tesla’s landing in the S&P 500 has already had a significant short-term impact on the value of the American brand’s shares, which have shot up 10% in the aftermarket. Something that will make its entry in this index more complex since it will be the largest company that has ever been added to this system.
With a pre-market valuation of about $380 billion, the S&P500 will now have to decide whether to add Tesla in one go or split its access into two parts. A move that represents a premium for the brand by Elon Musk for his good track record of chaining five consecutive quarters with profits, with net income of $809 million in the third quarter and living a real upward roller coaster in stocks that this year have soared 400%.
It is the result of a dynamic that Tesla hopes to culminate with a production and delivery record in this last quarter thanks to the strong acceleration that the plant in China is experiencing, which has become one of the pillars of the American brand.
A situation that is also reinforced by the constant improvement of its models, with the introduction in its first markets of the Model Y and the increase in the rest of the proposals’ autonomy. Something that will allow Californians to strengthen vehicle deliveries worldwide in the remainder of the year, and thereby achieve the goal of ending the year with more than 500,000 units manufactured in all of 2020.
A true “from bankruptcy to SP500” that will give a new impetus to the American manufacturer that does not cease in its expansion of factories, with four in operation and another two in the construction phase, of shops and technical services, as well as in its fall ever more robust network of Superchargers.