Tesla Could Be Worth “Multiples” of $51 Billion By 2020 Staff Writer May 19, 2017 News Tesla is worth a lot; I think we can all agree to that, right? Despite the company’s success, there are still many that feel Tesla shares are significantly overvalued, but one fund manager alerted CNBC to the fact that the naysayers are discounting the fact that Tesla will have a major role to play in the autonomous taxi market, which is an estimated $2 trillion opportunity. Catherine Wood, the CEO of ARK Invest, stated that she regard Tesla as a tech company as opposed to a car company, and therefore a higher valuation when compared to auto stocks is fair. Wood offers her thoughts on Tesla’s value and future role in the autonomous taxi market: “If we are correct and Tesla gets its fair share of the US autonomous taxi market, not to mention China’s … then Tesla will be multiples of today’s $51 billion market cap in 2020. We are astonished after listening to every Tesla earnings call that no analyst asks about the autonomous taxi network opportunity. Very little of that potential – even if Tesla gets only 10 percent of the $2 trillion global market – has been priced into the stock.” Elon Musk just admitted that Tesla's stock is out of control https://t.co/hWZWB8p1pY pic.twitter.com/agCePxwcuO — BI Finance (@clusterstock) May 18, 2017 This news comes on the heels of Elon Musk’s announcement last year regarding his plans to begin a Tesla ride-sharing platform once fully driverless cars are approved by regulators. The platform will compete with the likes of Uber and Lyft, but will also eye the autonomous taxi market, which could be worth as much as $2 trillion globally in the upcoming years. In other news, Wood also offered her thought on the upcoming Model 3 launch. Musk had previously announced Tesla’s intentions to build 500,000 EVs in 2018, and while Wood things they could get close to that number, she seems skeptical that Tesla will meet that goal. “Nobody is really expecting that but we think they’re going to get closer to 500,000 than most people think.” Tesla’s market capitalization was valued at $51 million, a number that has even surprised Musk himself: “I do believe this market cap is higher than we have any right to deserve. We’re a money-losing company.” SOURCE | CNBC Leave a Reply Cancel Reply Your email address will not be published.CommentName* Email* Website Save my name, email, and website in this browser for the next time I comment. This site uses Akismet to reduce spam. Learn how your comment data is processed.