Energy Economy

25 Aug 2020

Tesla Now Worth more than Exxon Mobil, Shell and BP Combined

25 Aug 2020  by Energy Mix Report   

Nothing slows down Tesla on its rise. Last Thursday, the action of the firm reached the symbolic mark of 2,000 dollars, which is more than the shares of Exxon Mobil, Shell and BP combined. This confirms the dynamism of the electric car industry.

Last week, stock in electric car maker Tesla broke the $ 2,000 mark. No disturbance seems to affect this dynamic, even if this increase precedes a split of shares planned by the company which wants to revolutionize the industry of electric cars and associated equipment.

In early August, the company said it will do a five-to-one stock split. Each shareholder will therefore receive a dividend of four additional ordinary shares for each share he held before that date. Shareholders will receive their additional shares on August 28, and Tesla plans to negotiate the stock split from August 31.

The Tesla title is thus worth those of the oil giants Exxon Mobil, Shell and BP combined. This especially illustrates the delicate situation of the hydrocarbon industry, which must reinvent itself in a context where electric cars are on the rise and their use is increasingly encouraged.

With the fall in demand and oil prices, the majority of oil companies lost value on the stock market, thus abandoning their place in the top of the firms with the most important market values. Last April, Netflix stock reached $ 448, for a market value of $ 196 billion, while Exxon Mobil lost 3% to $ 39.30 for a market cap of $ 166 billion.

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