Have you ever considered investing in Tesla stock? How much money would you have had you invested $ 1,000 in Tesla 1, 5 and 10 years ago?
Tesla shares have seen an impressive increase of 50% since early October and the company’s market capitalization has soared to more than $ 1.2 trillion. Tesla’s current performance has managed to surpass Toyota, the second -largest carmaker in terms of market limits last year at nearly $ 900 billion.
In a nutshell, according to calculations made by CNBC on Wednesday morning showed if you invested in Tesla in November last year when the stock was worth about $ 400 a share, you would get a return of almost 3 times!
According to CNBC, an investment of $ 1,000 on Nov 2, 2020 will be worth around $ 2,940 or the equivalent of a return of 193%!
Going back over the past 5 years, dated November 2, 2016, Tesla traded at nearly $ 38 per share. If you invest $ 1,000, you will get a return of 3,025% or worth around $ 31,286. Meanwhile, the S&P 500 index will give you a return of only 142.4%.
Meanwhile, if you invest in Tesla in 2011, you will get a return of 5 figures. A $ 1,000 investment in Tesla in November 2011 will be worth more than $ 204,000 now with the stock price rising from $ 5.74 to $ 1,229 over those 10 years while an investment in the S&P 500 will give you a return of just 357.4%.
However, this doesn’t mean S&P is a bad investment because according to investment experts like Warren Buffett, it’s the best place for most individuals to put their money because it holds every stock in the index, making it automatically diversified.
While Tesla stock growth continues to increase, any other individual stock can outperform or outperform and past returns cannot predict future results.
