On Wednesday, Toyota stock gained nearly 15% for its best week in 14 years on news of new leadership, EVs and next-gen batteries.
Toyota Motor Corp. (NYSE:TM) is poised for its best week since 2009, when the automobile giant revealed plans to build the next generation of batteries for its electric vehicles. The company’s stock also climbed on shareholder satisfaction with the CEO and chairman positions.
On Thursday, Toyota stock hit $169.07, a high not seen in 52 weeks, before shedding some weight and closing at $168.18. According to Marketwatch data, Toyota stock is up about 15% over the past 5 days and 18% over the past month. TM has also added 23.14% year-to-date (YTD) and 23.75% in 3 months. The current week is Toyota stock’s best week since 2009, when it gained 14.5%.
Toyota stock reacts to news on electric vehicles and new leadership
On Tuesday, Toyota stock also rose 5% on the Tokyo Stock Exchange after announcing electric vehicles and next-gen batteries. The company plans to launch electric vehicles in 2026, with batteries that will rival automakers Tesla Inc (Nasdaq: TSLA). Toyota also said it will manufacture vehicles under the new EV division BEV Factory.
one in recent presentationBEV factory president Takero Kato said the company will produce 1.7 million electric vehicles by 2030.
Toyota also says it will produce vehicles with solid-state batteries by 2027. The company has reportedly found a new way to develop more durable batteries. Toyota is now reviewing battery development for its hybrid electric vehicles (HEV) and standard electric vehicles.
Although expensive, solid-state batteries promise increased efficiency because they charge faster and churn out more energy. They are also unlikely to flare up. Using these batteries for your EVs can add up to prices significantly, making the car more expensive than the competition. However, users can enjoy better utility as a full charge can be completed in 10 minutes according to Toyota. Kato has already mentioned that Toyota is planning a driving range of 1,000 km (621 mi) for the upcoming EV.
In addition to news on batteries and electric vehicles, shareholders voted to keep former Toyota CEO Akio Toyoda — the grandson of Toyota Industries Co. founder Sakichi Toyoda — as chairman of the board. The shareholders also accepted the position of Koji Sato as CEO.
Toyota’s 23% YTD jump boosts gains from auto giants Volkswagen And General Motors, with 15% and 13% respectively. Regardless, Toyota stock has fallen behind like other automakers. ford motor and Honda, up 25% and 40%, respectively. Tesla stock is the biggest auto gainer in 2023 at 108%.
toyota electric vehicles
The auto giant has come under a lot of criticism for its reluctance to compete keenly with other EV makers. Toyota’s pioneering hybrid Prius model was launched in 1997 when there was little or no competition in that regard. Previously, Toyota said it was not ready to enter the world of EVs, even saying the public was not ready for the technology. However, Toyota is now fully in the race as it dives deeper into battery research. The company announced that it would invest $35 billion in electric vehicles, and has 30 models ready by 2030.
Tolu is a cryptocurrency and blockchain enthusiast based in Lagos. He likes to strip crypto stories down to the basics so that anyone anywhere can understand without a lot of background knowledge. When he is not delving deep into crypto stories, Tolu enjoys music, loves to sing and is an avid movie lover.
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