The upward momentum of stock prices. Tesla’s share price rose nearly 7% on Thursday, surpassing the $2000 mark for the first time, reaching a new all-time high, and its market value has exceeded < / P > < p > last week, the silicon valley electric vehicle manufacturer announced a 5-to-1 stock split plan. After that, Tesla’s stock began to soar, and has risen 40% without any other major driving force. In contrast, Apple’s share price, which also announced a spin off two weeks before Tesla’s announcement, rose only 20%. After the stock price rose on Tuesday, musk became the fourth richest person in the world. Tesla shares are up 339% so far this year and are widely expected to be included in the S & P 500. < / P > < p > the crazy rise in Tesla’s share price surprised even investors. On the one hand, the reason for the rise of stock price is related to the news of stock price splitting. On average, the stock performance after split is better than the market. The spin off is also an indicator of management’s confidence in the company’s prospects, indicating that the company’s growth may remain strong in the future. Moreover, the split stock will also have a relatively moderate price. A price close to $400 per share may increase the demand for Tesla shares, which may help to push up Tesla’s valuation in the short term. < / P > < p > take some large technology companies as examples. Apple has split its shares four times since it went public. Since the last split in June 2014, Apple’s market value has grown from about $570 billion to about $1.95 trillion today. In 2005, Apple’s valuation increased 33% annually and its revenue increased 20 times. Google’s market value has increased by 16% annually since its stock split in 2014, and its revenue has increased by nearly 2.5 times. The second reason is that grey minded short sellers are abandoning Tesla’s desire to step down from the altar. For a long time, Tesla has been one of the world’s most short selling stocks, meaning investors borrow shares, bet on a fall in share prices and hope to buy them back at a lower price. Short selling expert ihor dusaniwsky said in a report yesterday that in the past 30 days, short sellers have sold more than 2 million shares, and there is a clear correlation between the number of stocks short and Tesla’s share price, and those bearish short sellers who oppose the stock have also been fiercely attacked. To ridicule short sellers, musk also launched a short shorts on Tesla’s website for $69.42. < / P > < p > Tesla’s surge has caused heavy losses to investors who are shorting stocks. According to ihor dusaniwsky, managing director of S3 partners, a financial analysis firm, as of July 3, short sellers had lost $15.9 billion in 2020, and Tesla’s share price rose more than 180 per cent during that period. Since its listing in 2010, investors who have short Tesla have lost $30.45 billion. < / P > < p > with the rise of Tesla’s share price, many short investors choose to surrender and leave the market. According to the data provided by NASDAQ Exchange, Tesla’s overall short volume is close to 15 million shares, compared with 41 million shares in June 2019. Considering that Tesla has issued nearly 11.65 million shares in the past year, Tesla’s overall short position has been diluted to 8.2%. < / P > < p > most importantly, Tesla and electric vehicles are generally regarded as sunrise enterprises in the future. Daniel ives, an analyst at wedbush securities, said it was related to pent up demand. “At the moment, investor interest in stocks and electric vehicles is still in its early stages. I believe this is the right valuation, knowing that Tesla is a technology company, not an automobile company. ” < p > < p > Ives expects the next month’s battery day to be another factor in the stock’s rise. Tesla is likely to announce a 1 million mile battery at the launch. “In our view, this battery technology will be very advanced, likely to last for decades, withstand various weather and terrain conditions, and become another important milestone in Tesla’s ecosystem,” Ives wrote in a report to investors < / P > < p > the last big factor is Tesla’s outstanding performance. Tesla recently announced a better than expected second quarter profit, despite the disruption of the new crown epidemic, the company’s car production still exceeded expectations. According to buy shares data, Tesla accounted for nearly 82% of the total sales of electric vehicles in the United States in the first half of this year, with 71375 electric vehicles sold. Among them, model 3, which is the fastest-growing model, has the highest sales volume. < / P > < p > among the top ten electric vehicles sold in the United States, the top three are all owned by Tesla, while other vehicles can only “pay rent” on Tesla’s site. Cairn energy research advisors estimates that global electric vehicle sales will grow by 36% in 2021, surpassing 3 million for the first time. Among them, demand from China and Europe will be a major growth factor, and the demand for electric vehicles is expected to continue to grow in the long term.