Reuters
- Billionaire investor Chamath Palihapitiya told CNBC on Thursday that Tesla’s shares may be worth three times their current valuation, which would make CEO Elon Musk the first trillionaire.
- On Thursday, Tesla shares rose 6.9% and Musk overtook Jeff Bezos as the richest person on the planet.
- Palihapitiya said Tesla was a “distributed energy business” and that he believed for a time that the world’s first trillionaire would be a person who would fight climate change.
- “Providing clean energy, allowing the world to be sustainable, is an incredibly important thing that will be rewarded by markets and individuals,” said Palihapitiya.
- “Don’t sell a stock” of Tesla, he told investors.
- Watch the Tesla trade live here.
Billionaire investor Chamath Palihapitiya said Tesla’s shares could be worth three times their current valuation, which would make CEO Elon Musk the first trillionaire.
“Don’t sell a stock” of Tesla, Palihapitiya told investors in an interview with CNBC on Thursday. He advised investors to support Musk and other entrepreneurs who would not bow to short-term profits and who were struggling to make the world a better place.
“I don’t understand why people are so focused on selling things that work,” added the CEO of Social Capital. “When things are working, you get paid to be with people who know what they are doing. And this is a guy who has consistently been one of the most important entrepreneurs in the world. And then why bet against him?”
Musk overtook Jeff Bezos as the richest person on the planet on Thursday. Tesla’s shares rose up 6.9% to $ 808.69, bringing its CEO’s net worth to about $ 186 billion.
Musk’s wealth stems from his approximately 20% stake in Tesla and 48% in SpaceX, as well as 57 million exercisable Tesla stock options, Bloomberg said.
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Palihapitiya said Tesla was a “distributed energy business” and that Musk was discovering a way to harness, store and use it to help people be productive and fight climate change.
“I tweeted this a while ago that I thought the world’s first trillionaire would be a person fighting climate change,” said Palihapitiya. “It might as well be Elon. But if it’s not him, he’ll be someone like him. That’s why: Delivering clean energy, allowing the world to be sustainable, is an incredibly important thing that will be rewarded by markets and individuals.”
Palihapitiya added that the energy utility business was ripe for a disruption and that there are “trillions of dollars in bonds, investments and value within the power generation infrastructure”. When these are checked, Tesla will double and triple again, he said.
Palihapitiya’s appearance on CNBC aired shortly after a long time the Tesla bear RBC upgraded the electric vehicle maker to “sector performance” from “underperforming” and raised its target price from $ 339 to $ 700.
“There is no elegant way to put it other than to say that we have completely eroded TSLA’s shares,” the RBC said in a statement on Thursday.
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