If I'd bought $5,000 of Tesla stock 3 years ago, what would my investment be worth now?

Here's how much mind-blowing money investors have made on Tesla stock in three years…

| More on:
A futuristic view of electric vehicle technology with speeding bright light trails indicating power.

Image source: Getty Images

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

Key points

  • Tesla is one of the most famous stocks in the world
  • The company had a dream run over 2019 to 2021, but a horror 2022
  • So are long-term investors still ahead?

Tesla Inc (NASDAQ: TSLA) is one of the most famous share investments in the world. This fame has almost certainly been fueled by the legendary run Tesla stock went on between 2019 and 2022. The rather prominent public profile of its CEO Elon Musk would also be a factor.

But Tesla has many other tailwinds behind it too. It is an undisputed leader in the electric vehicle and battery space, with its popular cars now topping electric vehicle sales around the world. Its innovative approach to vehicle design and technology has won the company legions of global fans.

And Tesla continues to expand into previously unexplored territory. It has begun rolling out its Tesla Semi freight truck and plans to launch its highly-anticipated 'cybertruck' later this year.

Tesla is also a leading provider of household and commercial-scale storage batteries and solar technology.

There's little doubt that government policies encouraging emissions-free travel and power generation are also powerful driving forces behind this company's success. Policies such as electric vehicle subsidies will probably remain in place for decades, which will undoubtedly help the company's growth.

But let's talk about Tesla stock. How lucrative have the company's shares been over the past few years? And has the horror 2022 Tesla suffered dented investors' longer-term returns?

How much has Tesla stock made investors over the past three years?

Let's assume an investor bought US$5,000 worth of Tesla shares three years ago. That would have been in January of 2020. So back on Monday, 21 January 2020, Tesla stock closed at a split-adjusted US$36.48 per share.

If an investor dropped US$5,000 on Tesla shares back then at this price, they would have received 137 shares of the company, with a couple of dollars left over.

As of last night's (our time) market close over in the United States, Tesla stock was fetching US$127.17 each. Thus, our 137 shares would, right now, have a value of US$17,422.30. That represents a return of close to 250% over just three years.

So Tesla has still been a real winner for longer-term investors, despite the woes of 2022. Saying that, the company has had its fair share of both ups and downs recently.

Back in late 2021, Tesla stock reached a high of US$414.50. At that point, our 137 shares would have been worth a whopping US$56,786.50.

Who knows, maybe Tesla will get back there one day. But we shall have to see what happens in 2023 first.

Motley Fool contributor Sebastian Bowen has positions in Tesla. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended Tesla. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on International Stock News

A man looking at his laptop and thinking.
International Stock News

Why Alphabet stock was sliding today

Let's take a look.

Read more »

A man looking at his laptop and thinking.
International Stock News

Nvidia's stock was down despite its amazing earnings. Here's what history says is coming next

Although it might seem to defy logic, it's not an uncommon phenomenon.

Read more »

A woman holds a soldering tool as she sits in front of a computer screen while working on the manufacturing of technology equipment in a laboratory environment.
International Stock News

Nvidia share price slips despite 94% revenue growth

Q3 earnings beat expectations, but what about guidance?

Read more »

high, climbing, record high
International Stock News

Could the S&P 500 Index hit 6,500 by the end of 2025?

Could the index climb higher?

Read more »

a small child holds his chin with his head on the side in a serious thinking pose against a background of graphic question marks and a yellow lightbulb.
International Stock News

Is it too late to buy Nvidia shares?

Is Nvidia stock a buy ahead of its third-quarter earnings report tomorrow?

Read more »

a group of people stand examining a large glowing cystral ball held in the hands of one of the group members while the others regard it with various expressions of wonder, curiousity and scepticism.
International Stock News

Here's what to expect from Nvidia on November 20

Can Nvidia score another win?

Read more »

Two people lazing in deck chairs on a beautiful sandy beach through their hands up in the air.
International Stock News

2 no-brainer Warren Buffett stocks to buy right now

While replicating Buffett's success isn't possible, there are a handful of his investments that are no-brainer buys.

Read more »

A man with a beard and wearing dark sunglasses and a beanie head covering raises a fist in happy celebration as he sits at is computer in a home environment.
International Stock News

3 reasons to buy Nvidia stock before November 20

This week marks a big moment for tech investors as perhaps the most anticipated earnings of the year will be…

Read more »