Elon Musk says Tesla can hit $4 trillion valuation forecast by billionaire investor Ron Baron over the next decade

• Tesla's total market capitalization can swell to $4 trillion over the next 10 years, Ron Baron said Wednesday.

• CEO Elon Musk agrees with the billionaire investor's forecast.

• "We do need to knock the ball out the park several times to achieve that value, but I think we can," he said in a post on X.

Legendary growth investor Ron Baron believes that Tesla's total market capitalization could swell to an eye-popping $4 trillion over the next decade – and Elon Musk agrees.

Baron floated the $4 trillion valuation target back in September and doubled down on that figure in an interview with MarketWatch published Wednesday, adding that he thinks the Tesla, X, and SpaceX owner is a "brilliant guy".

"We do need to knock the ball out of the park several times to achieve that value, but I think we can," Musk said in a post on X just after midnight Eastern Time Thursday, replying to a short clip of Baron sharing his outlook.

Tesla's market cap stood at just over $650 billion as of Wednesday's closing bell, according to data from Refinitiv, so would have to rise more than sixfold to hit $4 trillion.

Shares in the EV maker have jumped 67% year-to-date, with a massive explosion of interest in AI encouraging investors to load up on "Magnificent Seven" mega-cap Big Tech stocks.

Tesla was up by more than 100% year-to-date earlier this year, but those gains gains were pared during a rough October where Tesla slumped 21%, dragged down by a nightmarish third-quarter earnings call where Musk warned of economic headwinds and told analysts that the company had likely "dug [its] own grave" with the long-delayed Cybertruck.

Read the original article on Business Insider