Volkswagen has become Germany’s most valuable blue-chip company; even as it takes on Tesla for global leadership in EV space. It overtook software maker SAP.
Volkswagen shares rose as much as 12%, with the company’s market valuation now more than 136 billion euros ($162 billion), compared with SAP’s 127 billion.
Volkswagen shares have gained 47% year-to-date, these have been supported by a raft of announcements on its electric vehicle expansion strategy that culminated with a “Power Day” this week, wherein plans to build six gigafactories in Europe by 2030 were announced.
Chief Executive Herbert Diess said on Tuesday he thought Volkswagen, the world’s second-largest carmaker after Toyota, was worth 200 billion euros, still a far cry from Tesla’s $650 billion market value.