Tesla launched its first roadster back in 2018. It has drawn many criticisms but the automaker managed to prove them wrong over time.
Tesla has played a major role in triggering the transition from using internal combustion engines to the development of electric vehicles. It is now one of the toughest competitors of automakers who have been in business for decades.
With its undeniable dominance in the auto industry, you’re probably wondering where the company will be 10 years from now.
Tesla delivered 361,181 vehicles in the first half of 2021. To date, the company has sold 1,917,450 electric vehicles.
The company has no plans of stopping anytime soon since it expects its deliverables to increase at an average of 50% per year.
The automaker has factories in Fremont California and Shanghai, China. If the company meets its expected 50% average annual growth in deliveries in the next four years and then drop to 25% in the following years then it may be able to sell nearly 10 million cars by 2030.
Tesla’s production capacity stands at around 100 million cars. They need to have 16 more plants if it wishes to reach its 10 billion unit goal. On the other hand, it will find it impossible to expand its capacity beyond a certain point in the future even if Tesla decides to build larger factories to ramp up its production. One of the major stumbling blocks that may prevent Tesla’s expansion is the availability of batteries.
However, Tesla may be able to achieve its growth targets, albeit difficult, if it manufactures its own batteries while purchasing a certain volume from its regular suppliers.
Tesla could become one of the top five automakers in the world by 2030.
The company is currently the market leader when it comes to electric vehicles and its sales may reach up to 145 million by 2030. The expected figure will mark a massive increase from the previously reported number of about 11 million in 2020.
On the other hand, Tesla may also find more competition in the electric vehicle market since legacy automakers are also developing and releasing their own versions of EVs. But Tesla will remain to be one of the top competitors if it manages to increase its production, get rid of bottlenecks, and boost its battery range.
Tesla also holds a competitive advantage in terms of software development, battery production featuring a supercharging design, and the company’s commitment to stay ahead of the cover when it comes to innovation.
Not only that, the company is on track to meet the expectations of analysts this quarter. Even though Tesla shares are unlikely to gain another 2500% anytime soon, it’s still poised to reach $1000 by the end of the year or early next year.
Tesla’s stock dropped by 40% last year to around $550. But it managed to regain its footing with its stock price rising consistently. The bullish trend is strong and the company’s stocks may reach $1,000 if it manages to maintain its upward trend.
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