Tesla, Inc. (NASDAQ: TSLA) could become the next Amazon.com, Inc. (NASDAQ: AMZN) said Gene Munster, co-founder and managing partner of Loup Ventures, according to a report by CNBC.
The investor explained that there might be a misunderstanding of Tesla as a company. It is viewed as a car manufacturer, when in fact the focus is on renewable energy across the board.
“Most people think of [Tesla] as an electric car company, but their mission statement is to accelerate the globe's transformation to renewable energy, he said. When you start thinking about that you can see them grabbing market cap from energy companies which are some of the largest market-cap companies,” said Munster.
Munster compared Tesla to Amazon’s early days, when the retailer was perceived to be nothing more than a book seller. As the company developed it has started grabbing market share form large retailers.
Tesla is well positioned to take advantage of the developing green energy market. "I'll give you one quick example, this race for batteries. There's a problem about just the elements of the copper and the nickel to build the batteries and they have procured some of that," said Munster. "If someone wants to build the batteries, they need financing to get there. I think the markets will give him that leverage to build this future," he said.