<p>Elon Musk's rising electric car powerhouse Tesla reached another landmark Monday when it officially qualified for the prestigious S&P 500.</p>.<p>The California-based automaker will join the broad-based market index on December 21, S&P Dow Jones Indices announced Monday, prompting another wave of affection for Tesla stock.</p>.<p>Shares surged 11.5 percent to $455.00 in after-hours trading. The stock has more than quadrupled this year as Tesla has built and delivered more electric autos, and Musk has wowed Wall Street with targets for further breakthroughs.</p>.<p><strong>Also read: <a href="https://www.deccanherald.com/business/business-news/elon-musk-says-he-most-likely-has-a-moderate-case-of-covid-19-915718.html" target="_blank">Elon Musk says he 'most likely' has a moderate case of Covid-19</a></strong></p>.<p>The announcement marks Tesla's arrival as a consistently profitable company after building up losses in its first nine years as a public company. Tesla has reported $451 million in profits through the first nine months of 2020.</p>.<p>Moving into the S&P is a marker of prestige and also boosts valuation because some mutual funds and other investment vehicles are linked to the benchmark.</p>.<p>With a market capitalization of almost $387 billion, Tesla will be among the biggest companies in the index.</p>.<p>As a result, the index is "seeking feedback through a consultation to the investment community to determine if Tesla should be added all at once on the rebalance effective date, or in two separate tranches," S&P Dow Jones Indices said.</p>
<p>Elon Musk's rising electric car powerhouse Tesla reached another landmark Monday when it officially qualified for the prestigious S&P 500.</p>.<p>The California-based automaker will join the broad-based market index on December 21, S&P Dow Jones Indices announced Monday, prompting another wave of affection for Tesla stock.</p>.<p>Shares surged 11.5 percent to $455.00 in after-hours trading. The stock has more than quadrupled this year as Tesla has built and delivered more electric autos, and Musk has wowed Wall Street with targets for further breakthroughs.</p>.<p><strong>Also read: <a href="https://www.deccanherald.com/business/business-news/elon-musk-says-he-most-likely-has-a-moderate-case-of-covid-19-915718.html" target="_blank">Elon Musk says he 'most likely' has a moderate case of Covid-19</a></strong></p>.<p>The announcement marks Tesla's arrival as a consistently profitable company after building up losses in its first nine years as a public company. Tesla has reported $451 million in profits through the first nine months of 2020.</p>.<p>Moving into the S&P is a marker of prestige and also boosts valuation because some mutual funds and other investment vehicles are linked to the benchmark.</p>.<p>With a market capitalization of almost $387 billion, Tesla will be among the biggest companies in the index.</p>.<p>As a result, the index is "seeking feedback through a consultation to the investment community to determine if Tesla should be added all at once on the rebalance effective date, or in two separate tranches," S&P Dow Jones Indices said.</p>