Tesla on Wednesday became the highest-valued car maker as its shares surged to record highs and the electric vehicle maker’s market capitalisation overtook that of former front runner Toyota.

Tesla shares gained 5% in early morning trade to a record of US$1 133, boosting the company’s market cap to $209.5-billion — roughly $6-billion more than Toyota is currently valued by investors.

Tesla is now worth more than triple the combined value of US automakers General Motors and Ford.

The shares’ meteoric rise, up more than 163% since the start of 2020, highlight growing confidence among investors about the future of electric vehicles and Tesla’s shift from a niche car maker into a global leader in cleaner cars.

After several years of losses, Tesla has delivered three straight profitable quarters since the third quarter of 2019 and surprised investors with solid first quarter deliveries despite the virus outbreak.

Toyota, one of the world’s most profitable automakers, sold 10.46 million vehicles during its 2019 financial year, ending on 31 March 2020. It reported net revenues of roughly $281.2-billion, during that time.

Tesla, in comparison, ended 2019 with $24.6-billion in revenues, having delivered 367 200 vehicles last year. CEO Elon Musk in the past said Tesla would deliver at least 500 000 vehicles in 2020, a forecast the company has not changed despite the coronavirus pandemic.