Tesla becomes world's second most valuable carmaker | TheHill - The Hill

Tesla is now the second most valuable car company in the world after overtaking Germany's Volkswagen.

On Wednesday, market capitalization for Elon MuskElon Reeve Musk Hillicon Valley — Presented by Philip Morris International — UN calls for probe into alleged Saudi hack of Bezos | Experts see effort to 'silence' Washington Post | Bezos tweets tribute to Khashoggi Trump says Zuckerberg presidential run 'wouldn't be too frightening' SpaceX's inflight abort test paves way to commercial human spaceflight MORE's company broke $100 billion, a first for a listed U.S. automaker, Reuters reported.

The surge in stock value has allowed Tesla to overtake several of its more established competitors. It is now second only to Japan's Toyota, which has a market cap of $233 billion.

But even with its stock gains, many in the auto industry are skeptical that Tesla will be able to consistently increase its profits.

Forward sales estimates indicate Tesla will gross $31 billion over the next 12 months, a figure that would not put the company among the top 20 automakers when it comes to demand.

By comparison, Toyota is expected to make $276 billion, Volkswagen $283 billion and Daimler $191 billion, according to Reuters.

President TrumpDonald John Trump Schiff pleads to Senate GOP: 'Right matters. And the truth matters.' Anita Hill to Iowa crowd: 'Statute of limitations' for Biden apology is 'up' Sen. Van Hollen releases documents from GAO investigation MORE recently praised Musk, who is co-founder and CEO of Tesla.