A 10-year review of Elon Musk and his new projects 1:21
New York (CNN Business) - It's
just been a little over a week into September and it's already been a wild month for Tesla.
The company started the month with a stock sell-off, saw its fortunes decline (and rebound slightly), and resigned itself to a notable snub from the S&P 500.
Let's take a walk through the adventure-filled month that Tesla and CEO Elon Musk have been through so far:
1. Stock drop
Tesla stock, one of the best-performing U.S. stocks this year, had its worst trading day since going public 10 years ago on Tuesday.
Tech stocks fall on Wall Street 1:01
Tesla shares lost 21% of their value after Standard & Poor's refused to add them to its index of the top 500 US stocks.
Being added to the index would have required portfolio managers reflecting the index to purchase additional shares.
Part of the rise in Tesla shares in recent months was due to anticipation that it would be added to the prestigious index.
Tesla's market value declined Tuesday by roughly $ 80 billion.
That's more than the combined market capitalization of Ford and General Motors.
Tuesday's 21% drop outpaced the company's 19% drop in January 2012, less than two years after its initial public offering.
The company's third and fourth biggest drop in one day came when it lost nearly 19% on March 16 and 17% on February 5 of this year.
The stock rallied very well from each of those sell-offs.
And that seemed to be happening on Wednesday: the stock closed 11% higher and is up almost 340% for the year.
Tesla delivered more than 90,000 cars to customers in the last quarter
2. More competition
With all the coverage, it may seem like Tesla is the only electric vehicle company, but there are others.
For example, General Motors is partnering with Nikola to work on the Nikola Badger, an all-electric hydrogen fuel cell pickup.
The partnership gives General Motors an 11% stake in the startup, receiving $ 2 billion in equity, the companies said Tuesday.
GM will also have the right to nominate a director to Nikola's board.
Nikola shares closed up 40% on the news.
3. Sale of shares
On Sept. 1, Tesla announced plans to sell up to about $ 5 billion in new shares, a day after splitting them, reducing the price of each share by a fifth.
Days later, on September 8, he announced that he had completed that sale.
The exact number of shares sold, and therefore the average price of each sale, was not disclosed.
Tesla's stock split: here's what you need to know
Tesla did not go into many specifics about what it plans to do with the money from the stock sale, simply saying in a regulatory filing that it intends to use the proceeds "to further strengthen our balance sheet, as well as for corporate purposes generally. ».
4. Snub the S&P 500
S&P Dow Jones Indices announced on September 4 that it will add three new companies, none of which is Tesla, the most valuable automaker on the planet.
The S&P 500 Index is one of the largest stock indices, considered a key benchmark that tracks the success of America's largest publicly traded companies.
Tesla is worth more than Toyota, Disney and Coca-Cola 1:13
Despite losing about $ 100 billion in market capitalization since then, Tesla is still worth more than Toyota, Disney, and Coca-Cola.
"Simply put, Tesla's failure to enter the S&P 500 will intrigue the bulls who saw it as practically a given given that all parameters were met," Wedbush analysts wrote in a note.
- CNN Business's Annalyn Kurtz, Paul R. La Monica, and Chris Isidore contributed to this report.
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