Hollywood icon Morgan Freeman has seen a massive return on his Tesla (NASDAQ: TSLA) investment, with analysts estimating a 3,000% surge in profits since he first disclosed owning the stock in 2016.
The Oscar-winning actor, known for his roles in The Shawshank Redemption and Bruce Almighty, has long been an admirer of Tesla CEO Elon Musk and his vision for space exploration and electric vehicles.
In a 2016 CNBC interview, Freeman revealed he was a Tesla shareholder, praising Musk’s ability to push technological boundaries.
A multimillion-dollar gain
Freeman’s support for Musk appears to have paid off handsomely. When he first mentioned his investment in 2016, Tesla’s stock was trading at £10.85 ($13.52) per share. Fast forward to January 2025, and shares have soared to £326.27 ($406.58)—a staggering 3,000% increase.
If Freeman had invested £10,000 ($12,500) in Tesla stock at the time of his interview and held onto it, his shares would now be worth more than £300,000 ($375,000).
Although the 87-year-old actor has never disclosed the exact size of his Tesla holdings, his estimated net worth of £200 million ($250 million) suggests he may have made a substantial profit from the EV giant’s meteoric rise.
“I’m a huge fan of Elon Musk,” Freeman said in the 2016 interview. “He’s got the most incredibly forward-thinking ideas about where we can go technologically.”
Tesla’s rapid growth and China’s impact
Since Freeman’s endorsement, Tesla has transformed into one of the world’s most valuable companies. The automaker’s market capitalization surged from £24.07 billion ($30 billion) in 2016 to over £1.04 trillion ($1.3 trillion) in 2025.
Tesla’s annual revenue jumped from £5.61 billion ($7 billion) to £77.8 billion ($97 billion) during the same period, with operating profits exceeding £7.21 billion ($9 billion) in 2023.
One major driver of Tesla’s success has been its expansion in China, where demand for electric vehicles has soared. The company recently launched an updated version of its best-selling Model Y SUV, which received over 70,000 orders within the first five days.
Tesla’s Shanghai Gigafactory continues to play a crucial role in the company’s international supply chain, helping drive record sales in key global markets.
Analysts predict Tesla’s value will keep climbing
Tesla’s future looks promising, with analysts at Wedbush Securities recently raising their price target for Tesla stock from £413 ($515) to £441 ($550).
Wedbush believes that Tesla’s advancements in autonomous driving and AI technology could be worth $1 trillion alone, particularly under a pro-business U.S. administration.
The firm projects that Tesla’s total market capitalization could hit £1.6 trillion ($2 trillion) by the end of 2025, solidifying its position as one of the most valuable companies in the world.
Jaja has a degree in journalism and took classes in international law and business communication. Her career spans roles at prominent international media outlets, including International Business Times, Celebeat and Delightful Philippines. As a news editor, Jaja covered a wide range of beats, including legal, business, economy, cryptocurrency, personal finance, gaming, technology, and entertainment.