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Tesla Inc. (NASDAQ:TSLA) stock has raced quicker than ever in the past year, its market capitalization skyrocketing to almost 820 million in early January 2021. After a brief period of market correction, it now sits at U$ 656.35 billion.
Its market cap more than the combined value of conventional car manufacturers Toyota, Daimler, Honda, and Volkswagen. And the entire credit for the same goes to its Shanghai-based Gigafactory, which can produce 150,000 series-3 models of Tesla annually.
At the beginning of 2021, the world’s number-one electric vehicle (EV) maker launched its second China-made car, the Model Y, about 3.5 years after the launch Model 3.
Tesla’s peer have also witnessed an unprecedented stock price surge.
Warren Buffet-backed BYD Co Ltd (SHE: 002594) and Chinese EV startup NIO Inc. (NYSE:NIO) have become the world’s fourth and fifth most valuable auto manufacturers, respectively. BYD’s current market cap stands at US$ 68.13 billion, and NIO’s market cap is US$ 63.41 billion. Both these Chinese EV companies have grown multiple folds in valuation from their March 2020 lows.
@ Kalkine Media Image, Data: EODHD/Others
Among the Chinese EV makers, BYD has attracted significant investment from the US.
The automotive firm not only manufactures cars but is also the front-runner in electric bus production, primarily in the US, Latin American, and European markets.
BYD also outperforms its Chinese peers NIO and Xpeng when it comes to EV sales. It retailed 16,301 battery electric vehicles (BEVs) last month, more than double of what NIO reported.
This in an indication of the growing dominance of the Chinese EV supply chain across the globe. These automakers have fast production capabilities, and innovative models compared with conventional vehicle companies.
Interestingly, Asia also leads in battery production – the soul of an EV, because of cheaper labor and land to set up new facilities factories.
In contrast, Silicon Valley has been leading in the crucial software segment, including exclusive algorithms for autonomous cars. But the production of self-driving vehicles tends to happen in China and other Asian countries.
Let us glance at these EV stocks’ price performances:
NIO Inc. (NYSE:NIO)
The fast-growing EV maker has yielded over 1,312 per cent return in one year, comparatively up against the S&P 500 Automobile Manufacturers (Sub Industry) Index, which has increased by 659 per cent. Its current stock price is US$ 38.70.
NIO's One-Year Stock Performance Chart. (Source: EODHD/Others)
BYD Co Ltd (SHE: 002594)
Berkshire Hathway-backed company’s stock has swelled almost 200 per cent in the past one year, surpassing the Shenzhen Stock Exchange Composite Index, which is up around 138 per cent relatively. Its share price is 166.72 Chinese Yuan.
BYD's One-Year Stock Performance Chart. (Source: EODHD/Others)
Tesla Inc. (NASDAQ:TSLA)
Elon Musk headed EV firm’s share price has rocketed by 523 per cent in one year, higher than the S&P 500 Automobile Manufacturers (Sub Industry) Index 235 per cent growth in the same period. Its stock is currently trading at US$ 683.80 on the NASDAQ exchange.
Tesla's One-Year Stock Performance Chart. (Source: EODHD/Others)
