Shares of Tesla ( TSLA 0.68% ) jumped 5.5% early Monday morning before settling back with a gain of 2.9% as of 1:30 p.m. EST, as the market sharply reversed early gains.
Over the weekend, Tesla announced it delivered 499,550 vehicles in 2020, slightly missing the highly publicized goal of 500,000. The company did produce almost 510,000 vehicles, however, and said that final delivery data may vary by about 0.5% when paperwork is finalized and reported with fourth-quarter results.
Shares of Tesla led the S&P 500 index in 2020 with a gain of over 700%, and they're outperforming again today. The company looks to have another eventful year in 2021, as it plans to have its new Texas factory in operation by the end of the year. That plant will be the main production facility for Tesla's cybertruck and semi-truck. The company also plans to launch Model Y SUV production at its new German factory before the end of 2021.
Tesla's successful delivery performance has investors expecting more of the same in 2021, but the company is now approaching a $700 billion market capitalization. Drastically growing vehicle sales from this point won't be the only requirement to begin to justify its valuation. It remains to be seen what else Elon Musk can accomplish, and whether shares will continue to defy gravity or more likely correct to a more reasonable value. Either way, Tesla has proven to be one of the most unique investments ever.