VinFast's market value reaches $191B with 700% share surge

author: FutureCar Staff    

Vietnamese electric vehicle (EV) manufacturer VinFast has experienced a significant surge in market value, reaching $191 billion. This places VinFast as the third-most valuable automaker, trailing behind Tesla and Toyota. This rapid growth follows the successful debut of VinFast on Wall Street, with the company's shares gaining around 700% since its listing on August 15. On Monday, VinFast added $33 billion to its market capitalization.

One factor contributing to the volatility of VinFast's shares is the limited number of publicly available shares. This limited public float is a result of the company's structure, with Vietnam's richest man, Phạm Nhật Vuong, owning 99.7% of VinFast through parent conglomerate Vingroup. As a result, VinFast's shares have seen significant fluctuations, attracting the attention of retail investors on the popular website Stocktwits.

Despite its impressive market value, VinFast faces significant challenges in competing with established automakers in the EV market. The company has only registered 137 EVs in the United States through June and aims to sell up to 50,000 vehicles this year. This number pales in comparison to Tesla's projected 1.8 million deliveries. Vuong believes that VinFast will break even by the end of 2024. However, some analysts draw parallels to the story of EV maker Rivian, whose shares experienced a significant decline after initial highs.

Overall, VinFast's surge in market value showcases its potential in the EV industry. While it faces challenges in competing with established players, the company's growth and market performance have garnered attention and interest from investors.

FutureCar Staff