US electric vehicle maker Tesla (NASDAQ: TSLA) has seen an incredible run-up in its share price over the past few days, sparking interest in the metals used in the production of its cars and vehicles.
At the end of Tuesday’s US trading session on the Nasdaq exchange, Tesla’s share price rose 13pc or US$107/share to close at an all-time high of US$887/share, according to exchange data.
The rally has lasted for several days, after the Tesla share price suddenly took off from US$650/share on January 31, and brings gains for the stock since then to $237/share or 36.5pc. Tesla had a stock market value of US$160b on Wednesday.
In a presentation released last week, Tesla said it generated US$1b of free cash flow in the October-December 2019 quarter, up from US$371m in the preceding July-September 2019 quarter.
“2019 was a turning point for Tesla. We demonstrated strong organic demand for Model 3, returned to GAAP profitability in 2H19 and generated $1.1b of free cash flow for the year,” the presentation stated.
Tesla stated that nearly all orders for its electric vehicles came from new buyers that did not hold a prior reservation.
“Amazingly, this was accomplished without any spend on advertising. As more people drive our cars and as the industry rapidly validates electrification, interest in our products will continue to grow,” the presentation stated.
Tesla is ramping up production of its electric vehicles and has started deliveries from its recently opened factory in China, with its vehicle sales set to hit 500,000 this year, up from 367,000 last year, according to the company results presentation.
The automaker uses several metals in the production of its electric cars and batteries including, aluminium, cobalt, copper, lithium and nickel, according to the company.
