In a recent announcement, the CEO of Tesla, Elon Musk, once again emphasized his daring projection that the renowned electric vehicle company could exceed the collective value of tech magnate Apple and oil giant Saudi Aramco. Musk, known for his audacious predictions, proposed that this extraordinary leap could come to fruition in the upcoming five years, provided that Tesla flawlessly executes its plans.
At present, Apple proudly declares a market capitalization of $2.99 trillion, whereas Saudi Aramco possesses a valuation of $2.13 trillion. In contrast, Tesla achieved its peak market cap of $1.23 trillion in November 2021. However, despite these numerical representations, Musk remains unwavering in his determination. He confidently asserted during the Q3 2022 earnings call that through the introduction of innovative products and steadfast expansion efforts, Tesla has the potential to double the value of Saudi Aramco.
Musk acknowledged the challenge of this project and underlined the necessity for innovative ideas, careful planning, and a little bit of luck. Musk expressed optimism about Tesla’s prospects despite acknowledging the obstacles, pointing to a realistic route to surpassing both Apple and Saudi Aramco put together.
Throughout 2023, Tesla’s stock experienced a relatively stable performance, with some asserting that the company remains undervalued. Responding to bullish sentiments on social media platform X, Musk reaffirmed his optimism about Tesla’s future valuation. Setting a rough timeline, Musk stated that he stands by his prediction, envisioning Tesla’s long-term value exceeding the combined worth of Apple and Aramco if the company executes exceptionally well over the next five years.
However, Musk also emphasized that achieving such a feat requires exceptional execution, dispelling any notion that it could happen autonomously. He underscored the need for concerted efforts and strategic decisions for Tesla to realize its ambitious aspirations.
Even if it seems unlikely currently that Tesla will be worth more than Apple and Saudi Aramco put together, the company’s wide range of products, which includes the potentially revolutionary Robotaxi and next-generation platforms, point to a very different future. If Tesla Energy is able to solidify its position, it too has the potential to become a major force in the energy industry. Even with all of the obstacles in the way, Elon Musk is unwavering in his vision for Tesla’s future, and time will only tell how big of a potential the firm is.