Tesla Hits $1 Trillion Market Cap for First Time After This Happened

Electric vehicle maker Tesla hit a major milestone on Monday, hitting a $1 trillion market cap for the first time after Hertz said it would buy 100,000 electric vehicles.

Hertz aims to build out its electric vehicle rental fleet by the end of 2022 and the deal brought Tesla’s stock to more than $1,045 a share midday, a new record high one trading day after the shares broke $900.

Shares closed up 12.66% at about $1,024 a share.

According to a Bloomberg report, the deal with Hertz will bring in a reported $4.2 billion for Tesla. This is the largest purchase of vehicles ever for the company.

Citing sourcres, Bloomberg also reported the cars are slated for delivery within the next 14 months and will be available to customers in the U.S. and parts of Europe as early as November.

Morgan Stanley’s Adam Jonas has raised his price target on the stock to $1,200 this past weekend while Jato Dynamics said on Monday that Tesla’s Model 3 electric sedan became the first fully
electric vehicle to top new car sales overall in Europe in September.

It was over a year ago that Hertz filed for bankruptcy protection during the height of the pandemic.

Investors from Knighthead Capital Management and Certares Management said this year however that they would take over the company.

Disclaimer: We have no position in any of the companies mentioned and have not been compensated for this article.