Tesla drives toward $1 trillion club on record Hertz order

Asia's Tech News Daily

Tesla, Hertz, Elon Musk, Tesla market capitalization, electric cars

Tesla Inc on Monday neared $1 trillion in market capitalization as the company founded by Elon Musk received its biggest-ever order – 100,000 electric rental cars for Hertz.

Tesla shares were up 7.5% at $978, hitting a new record high Monday, following the order. Shares were also buoyed by news of the company’s Model 3 becoming the first electric vehicle to top monthly sales of new cars in Europe.

The news from Hertz comes as Tesla is coping with a backlog of unfulfilled orders for its vehicles and continuing supply chain disruptions, but it does solidify the mainstream appeal of electric cars.

Interim Hertz Chief Executive Mark Fields told Reuters the order will primarily be Model 3 vehicles. Hertz customers can rent a Tesla starting in November and the company will have 3,000 chargers in 65 markets by the end of 2022, he added. By the end of 2023, Fields said his firm will have 4,000 chargers in 100 markets.

“We absolutely believe that this is going to be competitive advantage for us,” Fields said of the Tesla order, due to be delivered by the end of 2022. “We want to be a leader in mobility… Getting customers experience with electrified vehicles is an absolute priority for us.”

Hertz, which requires customers to refuel gasoline-powered rental cars on return or pay a fee, said for now customers will not have to return Teslas fully recharged.

Hertz has around 430,000 to 450,000 vehicles worldwide, Fields said. He said Hertz would work with other automakers producing electric vehicles.

Tesla would have to top $995.75 to become a company worth a trillion dollars, according to Reuters calculations based on its latest filing. The world’s most valuable carmaker will join an elite club that includes Apple Inc, Amazon.com Inc, Microsoft Corp and Alphabet Inc

The world’s most valuable automaker delivered a record https electric cars globally in the third quarter, even as it warned that supply chain headwinds would pressure margins.

Tesla’s cheapest Model 3 sedan starts at about $44,000, making this order worth about $4.4 billion, if the entire order were for its mass-market sedan.

Fields declined to say how much Hertz was paying for the order. Tesla was not immediately available for comment.

With the current order, Hertz said EVs will make up more than 20% of its global fleet. Fields cited the rising number of EVs for sale and consumer interest in electrified vehicles.

“We want to be out there early and fast and take a leadership position,” Fields said.

Wedbush said in a note to investors that “Tesla getting an order of this magnitude highlights the broader EV adoption underway in our opinion as part of this oncoming green tidal wave now hitting the U.S.”

“It (the order) puts an exclamation point under guidance for 50%+ growth in deliveries,” Roth Capital analyst Craig Irwin said. “Another solid piece of evidence EVs are going mainstream.”

The car rental firm also said it was installing thousands of chargers throughout its network. Customers who rent a Tesla Model 3 will have access to 3,000 Tesla supercharging stations throughout the United States and Europe.

“Electric vehicles are now mainstream, and we’ve only just begun to see rising global demand and interest,” said Hertz interim Chief Executive Officer Mark Fields.

U.S. President Joe Biden has made it a priority to support the rollout of electric vehicles to combat climate change, but a lack of charging network infrastructure could remain a key hurdle to his ambitious plan.

Analysts at Morgan Stanley bumped their price target on Tesla by 33% as the brokerage expects the electric carmaker to keep posting higher volumes, reaching more than 8 million deliveries in 2030.

A Cox Automotive study said Americans are hesitant to buy EVs due to anxieties about the ranges of the vehicles and high price tags, as well as weak charging infrastructure.

Hertz had filed for bankruptcy protection last year as travel demand sank during the height of the pandemic and talks with creditors failed to provide relief.

It was rescued by a group of investors including Knighthead Capital Management, Certares Opportunities and Apollo Capital Management.

Internet Explorer Channel Network
Asia's Tech News Daily
News Related

OTHER NEWS

Daily Voice | Bull market intact, counter Bear-market trend not a possibility, says Harendra Kumar of Elara Securities

The equity market corrected more than 8 percent last week from its record highs and after a sustained bull run. Indian investors lost Rs 7 lakh crore of their wealth ... Read more »

Omicron virus: 5 medical experts weigh in on the South African COVID-19 variant

The arrival of a new virus in these troubled days has set the cat amongst the pigeons. That is precisely what happened this past week, when a heavily mutated COVID-19 ... Read more »

Term insurance premiums are set to rise from December: Here's what you should do

Representative image Pure protection term insurance premiums are set to see a spike yet again. This time, the jump is likely to be in the range of 25-45 percent on ... Read more »

Parliament Winter Session | Cryptocurrency, Farm laws and disunity within opposition; government calls for smooth session

File image: Parliament The Winter Session of Parliament is set to begin today on  November 29 with the Opposition planning to corner the government over various issues, ranging from farmers’ demand ... Read more »

Want to be financially prepared for all emergencies? Follow these steps

Not even in our wildest dreams could we have imagined the crisis that 2020 unfolded. The COVID-19 pandemic took millions of lives, impacted livelihoods and pushed people into financial distress. ... Read more »

Nikkei pares early losses as investors digest risks from Omicron

TOKYO: Japanese stock index Nikkei pared almost all of its early losses on Monday, as investors tried to assess the extent of damage the Omicron variant of coronavirus could cause ... Read more »

Parliament's winter session set to begin today, 26 bills on agenda

The winter session of the Parliament is set to begin on Monday. The BJP-led government has a heavy agenda for the winter session with its legislative business including 26 new ... Read more »

Three foreign nationals test positive for COVID-19 in Mathura

Even as concerns over the highly transmissible Covid variant Omicron detected abroad soar, three foreign nationals, including two women, are among the five people who tested positive for Covid-19 in ... Read more »

Omicron variant: Ministry of Health issues fresh guidelines for travel from 12 nations in 'at risk' category

Representative Image Amid the rising concern for new coronavirus variant Omicron, the Union Ministry of Health and Family Welfare on November 28 issued new guidelines for international travellers arriving in ... Read more »

WHO criticises travel bans on southern African countries

The World Health Organisation on Sunday urged countries around the world not to impose flight bans on southern African nations due to concerns over the new omicron variant. WHO’s regional ... Read more »

Singapore crypto bourse enters India despite pending curbs

Representative image Singapore-based virtual currency exchange Coinstore has begun operations in India at a time when the government is preparing legislation to effectively bar most private cryptocurrencies. Coinstore has launched its web ... Read more »

Which are the best passive mutual funds for your portfolio?

Many AMCs (asset management companies) are on overdrive in their zeal for rolling out passive index funds, ETFs and FoFs (fund of funds). And while till just a year or ... Read more »

Fedo launches “Health Savings Account” in partnership with neo bank Open

AI driven Health- tech company Fedo has announced a announced ‘Health Savings Account’, called Fedo HSA, in collaboration with neo bank Open. Fedo HSA will be offering a combined account ... Read more »

Maharashtra: CM Thackeray asks administration to tackle Omicron spread on war footing

Leaving nothing to chance, the Maharashtra government has started making preparations even as the state’s Covid Task Force has said that the Omicron variant could be 1.5 times more severe ... Read more »

Karnataka seeks ban on flights from South Africa, Hong Kong

Karnataka has sought a ban on flights from South Africa, Hong Kong and Botswana to keep the Omicron variant of Covid-19 from entering the state. The state has been free ... Read more »

'Bihar becomes only state to pay Rs four lakh each to kin of COVID-19 victims'

The Bihar government has paid Rs 4 lakh for kin of each of the 8,849 persons who succumbed to Covid-19. The ex gratia is estimated at Rs 353.96 crore. Bihar ... Read more »

Banks flex digital muscles New open API approach keeps incumbents competitive amid digital disruption by linking them to a broader financial ecosystem.

Driven by greater digital adoption across Southeast Asia, consumer habits have changed dramatically over the past five years, prompting businesses to adapt accordingly to continue thriving. Banks and other financial ... Read more »

Winter Session begins today. Here's a look at the key Bills to be tabled in Parliament

Parliament The House is likely to simmer as the Winter Session of Parliament begins on Monday with a slew of Bills, including one to repeal the controversial farm laws, awaiting ... Read more »

SGX Nifty up 46 points; here's what changed for market while you were sleeping

Domestic markets are likely to kick off the new week on a positive note after WHO said it was not yet clear if the Omicron variant causes more severe diseases. ... Read more »

Hong Kong stocks slide on Omicron, Meituan woes while Macau casino operators slump on crackdown

Hong Kong stocks slipped on concerns the spread of Omicron coronavirus strain will prompt more lockdowns and hurt economic recovery. Meituan slumped on weak earnings while a gambling crackdown hit ... Read more »

Nissan plans 50% electric vehicle sales by 2030

TOKYO (AFP) – Automaker Nissan wants half its global sales to be electric or hybrid vehicles by 2030 and plans to plough billions of dollars into the effort, it announced ... Read more »

European Union's vaccine certificate plan a new hurdle for India

India may face a new challenge following the European Union‘s (EU) proposal to recognise vaccine certificates for nine months after an individual’s vaccination series and its suggestion of booster doses ... Read more »

Crypto exchanges see their new sign-ups dip amid uncertainty

Mumbai: There has been a dip in new sign-ups on cryptocurrency exchanges, as prospective investors seem to be hedging their bets till regulatory clarity emerges on the asset class. New ... Read more »

Snowfall in hills, rainfall in northwest and central India likely from November 30: IMD

The pandemic, however, made Indians reconsider their own vacations. Once snow coated the hill station last month, they decided to travel to Gulmarg when otherwise they might have gone abroad. ... Read more »

Singapore, regional bourses dip on Omnicron concerns

SINGAPORE (THE BUSINESS TIMES ) – Singapore shares started the week in negative territory on Monday (Nov 29), following a major sell-off in all global markets after a new coronavirus ... Read more »

WhatsApp Pay plans significant investments in next six months

Bengaluru: WhatsApp Pay is planning to invest significant sums in India over the next six months to speed up the growth of its payment service and will work towards a ... Read more »

Deadly cocktail' of SP, BSP, Congress wants to stop welfare work of PM Modi, CM Yogi: BJP

Besides Prime Minister Narendra Modi, senior Union ministers Rajnath Singh and Amit Shah, along with Parliamentary Affairs Minister Pralhad Joshi, will represent the government at the meeting. (Illustration: Moneycontrol) The ... Read more »

Delhi govt launches TV show to help school children pitch start-up ideas to investors

The Delhi government on Sunday launched the ‘Business Blasters’ programme, a first-of-its-kind televised event that will give students of classes 11 and 12 of schools run by it an opportunity ... Read more »

Pilani Investment a good long-term bet for investors valuing it realistically

Mumbai: Pilani Investment & Industries Corporation, a holding company of the Aditya Birla Group, is currently trading at over an 80 per cent discount to its intrinsic value compared to ... Read more »

Key indicators hint at more weakness for Nifty50

Technical and derivatives analysts see more bearishness going ahead for the Nifty after a decline of over 4 per cent last week in the wake of a new coronavirus variant ... Read more »

Cryptocurrency Prices on November 29: Bitcoin, Solana, Ethereum rise while Tether falls

Cryptocurrency (Representative image) The global crypto market capitalisation surged 5.58 percent over the last 24 hours to stand at $2.58 trillion. Bitcoin, currently trading at $57,563.20 saw a rise in ... Read more »

Plant closures in Thailand spark fried chicken shortage in Japan

FamilyMart, as well as 7-Eleven, in Japan are running low on fried chicken for their holiday platters. (Bangkok Post file photo) TOKYO: As Americans celebrated Thanksgiving with turkey prices at ... Read more »

Keeping Up With Customer Satisfaction in the Digital Age

Thanks in part to the widespread accessibility of information, fast access to services, and a highly competitive business environment, customers have become more sophisticated and demanding than ever. In fact, ... Read more »

Amazon to open Abu Dhabi fulfilment centre by 2024

Amazon has partnered with Abu Dhabi Investment Office (ADIO) to establish a fulfilment centre by 2024 to be built in accordance with the company’s carbon-reduction strategies, the Abu Dhabi government’s ... Read more »

Sebi asks PMS managers for client deal data

Mumbai: The Securities & Exchange Board of India (Sebi) has asked all portfolio management service (PMS) providers, who handle investments of the rich and ultra-rich, to submit information on the ... Read more »

Stocks in the news: IndusInd Bank, Paytm, Vedanta, Tata Steel, ITC and telcos

Nifty futures on the Singapore Exchange traded merely 7.5 points, or 0.04 per cent higher at 17,051 signaling that Dalal Street was headed for a flat start on Monday. Here ... Read more »

Japan considering further border controls as Omicron spreads: PM Fumio Kishida

Fumio Kishida (Image: AP) Japanese Prime Minister Fumio Kishida said on Monday his country would consider further tightening its borders as the newly discovered Omicron coronavirus variant spreads around the ... Read more »

Plant closures in Thailand sparks fried chicken shortage at Japan stores

FamilyMart, as well as 7-Eleven, in Japan are running low on fried chicken for their holiday platters. (Bangkok Post file photo) As Americans celebrated Thanksgiving with turkey prices at record ... Read more »

Elon Musk insists Tesla staffers follow his orders or explain to him why he's wrong—or get fired if they don't

Elon Musk sent out two emails in October, revealing the ‘carrot and stick’ leadership style he uses to run electric vehicle company Tesla. It is easy to disassociate the enigmatic, ... Read more »

Airlines scramble to navigate fast-degrading travel outlook

The risk of a second lost winter has already tanked shares of airline stocks. LONDON (BLOOMBERG) – Airlines, passengers and businesses scrambled to respond to a deluge of travel restrictions ... Read more »
On free-english-test.com you will find lots of free English exam practice materials to help you improve your English skills: grammar, listening, reading, writing, ielts, toeic