---
title: "Tesla Is Now the Most Valuable US Automaker"
description: "Overtaking GM to become the sixth most valuable carmaker in the world behind Toyota, Germany's Big 3, and Honda."
date: "2017-04-10"
modified: "2017-04-10"
authors:
  - name: "Chris Tsui"
    job_title: "Contributor"
    link: "https://www.thedrive.com/authors/chris-tsui"
url: "https://www.thedrive.com/article/9151/tesla-is-now-the-most-valuable-us-automaker"
categories:
  - "Car Tech"
  - "Electric Vehicles"
  - "News"
  - "News by Brand"
  - "Tesla News"
tags:
  - "Electric Cars"
  - "Electric Vehicle"
  - "market"
  - "Tech"
  - "Tesla"
---

# Tesla Is Now the Most Valuable US Automaker

![](<https://www.thedrive.com/wp-content/uploads/images-by-url-td/content/2017/04/press03-model-x-front-three-quarter-with-doors-open-e1491840119122.jpg>)
*\<em\>www.thedrive.com</em>*

Last week, we reported Tesla [surpassing Ford](<https://www.thedrive.com/tech/8918/tesla-is-now-worth-more-than-ford-if-you-believe-the-market>) in overall valuation. This week, Elon and the boys in Palo Alto can break out the champagne once again as the American electric automaker topples the final domestic giant: GM. That's gotta take a little wind out of [Mary's sails](<https://www.thedrive.com/news/8936/mary-barra-is-the-highest-paid-auto-ceo-in-the-world>), doesn't it? In a report by [*Bloomberg Markets*](<https://www.bloomberg.com/news/articles/2017-04-10/tesla-passes-gm-as-musk-s-carmaker-becomes-america-s-top-valued>), Tesla rose by 3.7 percent as a result of early Monday trading, bringing its market capitalization to $51 billion—eking out General Motors who sits at a little over $50 billion as of this writing. This makes Tesla, financially and empirically, the most valuable American automaker.

If you think the valuation is ridiculous, no one would blame you—especially considering GM's expectations to earn over $9 billion this year while Tesla is projected to *lose* almost $1 billion on top of reported [ongoing woes](<https://www.thedrive.com/tech/9093/brand-new-tesla-model-s-delivered-with-cracked-a-pillar>) with [quality control](<https://www.thedrive.com/article/9085/why-is-teslas-quality-control-still-so-poor>). But, as our own [Kyle Cheromcha put it last week](<https://www.thedrive.com/tech/8918/tesla-is-now-worth-more-than-ford-if-you-believe-the-market>), "stock market valuations are a game of perceptions." Regarding public perception and appearances, Alexander Potter, analyst at Piper Jaffray Cos.—and noted Tesla owner—had this to say: "Tesla engenders optimism, freedom, defiance, and a host of other emotions that, in our view, other companies cannot replicate. As they scramble to catch up, we think Tesla’s competitors only make themselves appear more desperate."

Today's news makes Musk's car firm the sixth-largest in the world behind Toyota, Daimler, Volkswagen, BMW, and Honda. Tesla is slated to release their mass-market, $35,000 [Model 3](<https://www.thedrive.com/new-cars/8605/tesla-model-3-will-be-more-affordable-less-high-tech-than-model-s-elon-musk-says>) sometime later this year, hoping to shed their status as a niche car manufacturer. "Even if the Model 3 production launch goes badly, we think customers (and more importantly shareholders) will withhold judgment", Potter writes.

At this rate, headlines like "Tesla market cap surpasses Honda" should be written by the beginning of next week and *ze Germans* will be seeing a certain [grille-less](<https://www.thedrive.com/new-cars/3014/5-animals-the-new-tesla-model-s-resembles>) EV in their financial rear view mirrors sooner than expected.

## Author
Chris Tsui is *The Drive*'s former Reviews Editor and current freelance automotive journalist. He's based in Toronto.

### Author social links  
[Instagram](<https://www.instagram.com/cltsuii/>)