Musk's Tesla hits $1T market cap after Trump win

Tesla’s stock continued its massive rally Friday, bringing the electric vehicle maker’s market capitalization above $1 trillion.

The company’s share price was up 7 percent as of midday Friday alone. Since the market closed on Election Day, Tesla’s stock has jumped nearly 26 percent. 

It joins a small group of companies above the $1 trillion threshold, the vast majority of which are fellow tech firms like Nvidia, Apple, Microsoft, Amazon, Alphabet and Meta. 

Tesla’s stock has soared in the wake of President-elect Trump’s election win early Wednesday morning. Tesla CEO Elon Musk was one of Trump’s key supporters, pouring millions of dollars into his own pro-Trump super PAC. 

America PAC, which received $118 million from Musk, played a leading role in the Trump campaign’s voter turnout efforts in swing states. 

Musk also posted frequently about Trump and the election on his social platform X, amplifying the Republican candidate’s message to his 200 million followers.  

The billionaire appeared alongside the president-elect at several rallies in the final weeks of the election and joined him at Mar-a-Lago on election night to watch the results come in. 

In his victory speech early Wednesday morning, Trump gave Musk a shoutout. 

“We have a new star,” he said. “A star is born — Elon!”    

Musk is expected to play some role in the next Trump administration, although it’s not entirely clear yet what that will be. The president-elect has previously suggested that the tech mogul could head up a panel focused on cutting government costs.   

Despite Trump’s antagonistic stance toward EVs, Musk’s Tesla is expected to benefit under his presidency.  

The president-elect’s plans to eliminate EV subsidies are anticipated to hurt the industry as a whole, while giving Tesla a competitive advantage, Wedbush Securities analyst Dan Ives said in a recent research note. 

Trump’s other policies, like heightened tariffs on Chinese imports, could also boost Tesla, Ives noted. 

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