Having surpassed Ford as recently as last week, Tesla鈥檚 share price continued to climb on Monday, causing the company鈥檚 market cap to edge past General Motors by the end of trading on Monday. Considering the fact that Chrysler, the third of Detroit鈥檚 famous 鈥淏ig Three鈥 is no longer American-owned (it is a subsidiary of the Italian car company Fiat Chrysler), people are already starting to label Tesla, GM and Ford as the 鈥淣ew Big Three鈥.
As our chart illustrates, Tesla鈥檚 numbers don鈥檛 really match its valuation yet. The company produces a fraction of the number of vehicles that GM and Ford produce; it trails in revenue and has yet to become profitable. Tesla鈥檚 current valuation is driven by the belief that the future of mobility is electric and that the company has enough of a headstart to eventually dominate that future.
