$ 1.5 trillion, which is more than Apple at its peak is expected to be Tesla’s market value over the next 10 years. So says billionaire Ron Baron, a great fan of Elon Musk, and at the same time a significant investor in his company. He is convinced that Tesla will produce over 10 million cars a year, and that the largest car companies will not be able to harm it.
Ron Baron is the owner of the Baron Capital investment fund. His assets are valued at almost USD 2.5 billion. The businessman invested $ 355 million in 2016-2017 in Tesla shares, which are worth over a billion dollars today.
The tripling of asset value is probably a good enough reason to sell it and get hundreds of millions of dollars in profit, right? Ron Baron has no such plans because he believes that Tesla shares will be worth a lot more in the future than they are today. Up to 12 times more.
Baron had visions of Tesla’s power before, pointing out that Elon Muska’s company would be worth $ 1 trillion in this decade. Now he has raised his forecast by half and is already talking about $ 1.5 trillion. Tesla’s net value up to 2030.
10 million cars a year
In an interview with Barron’s financial magazine – a sister publishing company of the famous “The Wall Street Journal” – Ron Baron said that in this decade, Tesla will produce as many cars as Volkswagen or Toyota today.
“Last year, Elon Musk sold 367,000 cars. I will sell a million in two years. Currently, 90 million cars are sold worldwide, I think it will sell at least 10 million a year, “said the billionaire.
If Ron Baron’s vision became a reality, Elon Musk would most likely become the richest man in the world. However, it is not only about the increase in the value of Tesla shares it owns. In the 2018 contract, it has hundreds of millions of dollars in prize rewards for achieving the company’s specific financial goals. In total, it has $ 56 billion to download in this way.