With a Sudden rise in stocks of Tesla, it has left a few big names in terms of market cap. We look at the top 10 automobile companies in the world by market cap.
For more than 100 years, the automobile industry has gone strong but it remains one of the toughest places after outsiders to enter into. In 2010, after Ford Motor Co. (F) in 1956, Tesla became the first US car company to go public. While it hasn’t proved its ability to remain consistently profitable, investors value the electric car manufacturer as one of the world’s 10 most successful car companies. With the U.S.-China trade war affecting the global automotive industry significantly in 2019.
Here is a glimpse at the planet’s 10 largest Automobile companies by market cap.
- Toyota-Japan’s Toyota Motor Corp. is the world’s largest automobile company, even though its share price has been basically treading water since 2013. In an industry hobbled by the trade war between the U.S. and China, the fact that TM stock has gone sideways over the last year-plus has only strengthened its lead on rivals. The Current Market Cap of Toyota is $200.5 Billion.
- Tesla Motors – Founded by the serial entrepreneur Elon Musk, Tesla, Inc. is an American automobile and power company based in Palo Alto, California. The company is involved in the production of electric cars and the manufacture of solar panels through its SolarCity subsidiary. Tesla, a seventeen-year-old car maker, is now worth twice as much as Ford, a centuries-old car giant, after a spike in its stock price. Over the past few months, Tesla’s stock has been on a roll, rising from $255 in October to $443 over the close of the market on Friday. The current market cap of Tesla stands at $102.66 Billion.
- Volkswagen– Volkswagen is arguably the most successful car company in the world.” Maybe that’s because customers associate Volkswagen with the brand itself, not the eponymous corporation under its corporate umbrella it includes brands like Porsche, Audi, Bentley, Bugatti, Lamborghini, and Ducati. With 10.83 million vehicles sold last year, Volkswagen goes down to 3rd place on this list after Tesla’s tremendous surge. It looks like a consummation of Volkswagen’s turnaround; its image was weakened by the 2015 emissions cheating scandal and left investors unsure if buyers would forgive the company. The Current Market Cap of Volkswagen is $90.00 Billion.
- Honda- Honda’s market cap stood at $61 billion some 20 months ago. The company has since lost an average market cap of more than $1 billion a month, and yet remains the fifth most successful automobile company in the world. That should reflect the growing levels of concern for the global automotive industry. Despite unit sales in fiscal 2019 that grew 1.6 percent to 3.75 million vehicles, this falling market cap came. A few factors besides the trade war which might have led to market pessimism: negative currency conditions (Honda is headquartered in Japan). The Current Market Cap is $54.5 Billion.
- General Motors- In addition to several Asian brands, GM also owns brands such as Buick, Cadillac, Chevrolet, and GMC. The acquisition of Cruise Automation, a leading self-driving car startup in 2016, made GM an instant player in the driverless, high-growth car market. The all-electric Chevrolet Bolt EV is a full-scale, direct competitor to Tesla’s Model 3. The current market cap of General Motors is $49.88 Billion.
- Daimler AG- Daimler shares have fallen gradually for more than four years. The stock has lost more than 50 percent of its value over that time. Its strength in the Asia-Pacific region, where Daimler posted last year’s best full-year unit sales. Daimler owns car, bus, truck and motorcycle brands including Mercedes-Benz, Mercedes-AMG, Smart Automobile, Detroit Diesel, Freightliner, Western Star, Thomas Built Buses, Setra, BharatBenz, Mitsubishi Fuso, MV Agusta. The Current Market Cap is $48.43 Billion.
- BMW– BMW, founded in Munich in 1916, has dropped a couple of spots in the last year-plus on the list of the world’s biggest automakers. The U.S.-China trade spat, as with others on this list, has generated spiraling trust among investors. The upcoming 25 percent hike in Beijing’s tariff on U.S.-made cars will hurt BMW, which, like Tesla, exports a lot of vehicles from U.S. plants to the Chinese end market. Cars are marketed under the BMW, Mini and Rolls-Royce brands, and motorcycles are marketed under the BMW Motorrad brand. BMW was the twelfth-largest producer of motor vehicles worldwide in 2015, delivering 2,279,503 vehicles. The current market cap of BMW stands at $45.90 Billion.
- Ford Motors– Ford was created and incorporated by Henry Ford on 16 June 1903. The company sells automobiles and commercial vehicles under the name Ford, and most luxury cars under the brand Lincoln. Ford also holds Troller, a Brazilian Carmaker, an 8% stake in United Kingdom’s Aston Martin and a 32% interest in Jiangling Motors. It also has joint-ventures in China (Changan Ford), Taiwan (Ford Lio Ho), Thailand (AutoAlliance Thailand), Turkey (Ford Otosan), and Russia (Ford Sollers). The company is listed on the New York Stock Exchange and is owned by the Ford family; they have minority ownership but most of the voting power. The current market cap of Ford is $36.31 Billion.
- Ferrari– The company was founded by Enzo Ferrari in 1939 as another vehicle from the race division of Alfa Romeo, and designed its first car in 1940. Nevertheless, the company’s establishment as an automaker is generally remembered in 1947 when the first Ferrari-badged car was completed. In 2014, Brand Finance ranked Ferrari as the world’s most powerful brand. In June 2018, the 1964 250 GTO became the most expensive car in history, setting a record selling price of $70 million for all time. Ferrari recently got separated from its former owners Fiat Chrysler. The current market cap of Ferrari stands at $30.36 Billion
- Hyundai– South Korean automaker Hyundai has overtaken Fiat Chrysler (FCAU) to become the world’s 10th most successful auto company. Hyundai’s founding date of 1967 makes it a relative newcomer to the industry compared to most other firms on this list; many other top names were founded in the early 20th or late 19th century. As the first company ever to make a car in South Korea, Hyundai built up a reputation for quality cars at an affordable price; income between 2011 and 2018 did not fall in a single fiscal year, and last year Hyundai reported more than $87 billion in worldwide sales. The current market cap of Hyundai is $25.35 Billion.
There are few automobile companies that missed out on the list due to lower market cap despite being the oldest manufacturers around are Fiat Chrysler, Nissan.