Tesla stock surged overnight in US trading, surpassing Toyota as the most valuable car maker in the world.
Shares of the American electric vehicle manufacturer climbed by five per cent in early trading to a record US$1133, giving the company a market value of US$209.5 billion. Toyota is valued at US$202 billion.
Toyota sold 10.46 million vehicles and recorded more than 10 times the revenue of Tesla in 2019.
Three days ago, founder Elon Musk emailed employees of Tesla encouraging them to "go all out" in an effort to get the car manufacturer to break-even. In late June, Tesla placed last in a ranking of new-car quality.
Tesla stock has more than doubled in value since late January.
Tesla is hoping to be able to report four consecutive quarters of profit, which would make it eligible for inclusion in the S&P 500. If it succeeds, the company would be ranked around 20th, placing higher than Exxon Mobil, Netflix, and Coca-Cola.