Billionaire investor Ron Baron believes that Tesla could be worth as much as US$1.5 trillion by 2030, because the recent stock rally and revenue rise is ?only the beginning,? Baron,?

Billionaire investor Ron Baron believes that Tesla could be worth as much as US$1.5 trillion by 2030, because the recent stock rally and revenue rise is ?only the beginning,? Baron, whose funds hold Tesla shares, told Barron's in an interview published on Friday.

Baron, whose funds hold 1.62 million Tesla shares, thinks that Tesla's recent stock rally is just the beginning as Elon Musk's EV manufacturer is set to grow its revenues and operating profits exponentially over the next ten years. ?

Baron is a long-term investor and his funds bought almost all Tesla shares that they currently hold between 2014 and 2016, at a total cost of US$355 million. Baron doesn't plan to divest any Tesla stock anytime soon because he believes the company has a lot more potential and is racing ahead of the competition on the EV market.

?We're going to make 10 times our money from here,? Baron told Barron's, referring to his funds' holdings of Tesla stock.

According to the investor, Tesla?which increased annual revenues from US$2.5 billion in 2013 to US$25 billion in 2019?could book revenues of US$33 billion this year. In 2024, Tesla's revenue could jump to US$100 billion-US$125 billion, and the company could be worth US$300 billion-US$400 billion, compared to US$150 billion currently.

The billionaire also says that Tesla, which sold 367,000 vehicles last year, could be selling 2 million EVs per year in two years, and ultimately?at least 10 million cars a year.

In 2030, Tesla's revenues could hit US$1 trillion, Baron said.

?By then, Tesla could be worth $1.5 trillion, ultimately putting it among the largest and most valuable companies in the world,? the investor told Barron's.

This year, Tesla's stock has rallied and tripled in value since the summer. At the end of January, Tesla easily beat market expectations and posted?a profit for Q4, the second consecutive quarter in which the company beat outright analyst expectations and defied skeptics. Tesla's stock continued to rally in February, hitting an all-time high closing price of?US$917?last week. ?

By Tsvetana Paraskova for Oilprice.com

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Ron Baron Believes Tesla Could Be Worth $1.5 Trillion In 2030