Tata Motors has reclaimed the top spot as India’s largest car company, overtaking Maruti Suzuki with a market cap of USD48 billion. Meanwhile, no Indian automaker made it to the global top 10 list, with Tata Motors ranking 12th globally.
US-based Tesla is the world’s most valuable automaker with a market cap of $704 billion, followed by Japan’s Toyota at $299 billion and China’s BYD at $97 billion, according to reports.
Tesla, owned by Elon Musk, remains the most valuable auto company with a market cap of $704 billion. The company operates in two sectors: automotive and energy generation and storage. Despite a recent dip in its share price, Tesla maintains a significant lead in market valuation, more than double that of the next largest player.
Japan’s Toyota Motor Corp is the world’s second-largest with a market cap of $299 billion. The company’s shares have gained nearly 13% this year. Toyota’s 4Runner, the best-selling vehicle in North America, has been generating strong revenue, helping the automaker maintain its dominant position. In the first half of 2024, Toyota sold 66,550 4Runners in the United States, up from 50,736 units a year earlier.
China’s BYD is in third place with a market value of $97 billion. BYD briefly overtook Tesla in pure electric vehicle sales in the fourth quarter of 2023, selling 526,409 units compared to Tesla’s 484,507. The Chinese automaker maintains a strong market position, valued at around $100 billion.
Germany’s Mercedes-Benz is in fourth place with a market value of $74 billion. The company’s shares were pressured by weaker-than-expected second-quarter numbers and an unimpressive outlook. Mercedes has lowered its annual profit margin forecast, but expects new models to help it compete in tough Chinese conditions in the second half of 2024.
Luxury carmaker Ferrari from Italy ranks fifth with a market capitalization of $73 billion. Ferrari competes closely with Mercedes-Benz for market value. The company recently made headlines by announcing plans to introduce a cryptocurrency payment system for European dealerships in late July, following its successful launch in the United States the previous year.
Porsche, also from Germany, is in sixth place with a market value of $69 billion. The Volkswagen-owned sports car maker has seen its value fall by more than a quarter since April due to a weak performance in China. Porsche’s net profit in the first half of the year fell to €2.15 billion ($2.33 billion) from EUR 2.77 billion, driven by high costs from suppliers and capital expenditures.
Germany’s BMW is in seventh place with a market value of $61 billion. Bayerische Motoren Werke, better known as BMW, produces and sells about 2.5 million premium brand cars and off-road vehicles annually under its BMW, MINI and Rolls-Royce brands. Volkswagen, another German automaker, is in eighth place with a market value of $59 billion. The company, which owns premium brands such as Audi, Bentley, Lamborghini and Ducati, had a tough first half due to factory closures. Despite these setbacks, Volkswagen remains one of the world’s most prolific automakers, competing with the likes of Toyota.
Netherlands-based Stellantis ranks ninth with a market capitalization of $55 billion. Despite falling 40% from its peak in March, Stellantis is still among the world’s top 10 automakers. The company’s sales and profits fell in the first half of 2024, and Morgan Stanley said free cash flow was a major disappointment. Citi analysts also see Stellantis as a tough investment until operating margins recover.
Honda from Japan rounds out the top 10 with a market capitalization of $54 billion. Honda operates globally, with more than 45% of its revenue coming from the United States, about 15% from Japan, and the rest from other countries.
In India, Tata Motors and Maruti Suzuki remain the largest car manufacturers. Tata Motors, with a market cap of $48 billion, recently overtook Maruti Suzuki, with a market cap of $47.6 billion. Tata regained the top spot after nearly six months, while Maruti Suzuki had held onto it earlier in the year.
“Tata Motors has reclaimed the top spot among Indian automakers after nearly six months,” industry analysts noted.
Despite their significant presence in India, neither Tata Motors nor Maruti Suzuki managed to crack the top 10 global automakers. Tata Motors comes closest, ranking 12th with a market capitalization of USD 48 billion.
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