Tesla's 50% Sales Increase
Cramer wasn't always a TESLA BULL, but his stance changed when the stock was $150 cheaper, he said on "Mad Money."
It "became clear" the company would be in a position to make "a lot of money" as soon as next year, he said.
Tesla ended 2019 with a 50% increase in global sales to 367,500 units, while General Motors Company (NYSE: GM) is showing "barely any growth," the CNBC host said.
Meanwhile, Ford Motor Company (NYSE: F) is "shrinking," which makes it apparent investors don't want to "pay up for stagnation," he said.
Cramer Bets On Tesla Over Detroit Automakers
Tesla is also beating General Motors and Ford in winning the future battle of auto sales, Cramer said, adding that the future of cars is electric, and the Detroit-based automakers haven't been able to gain any traction in the category.
Cramer 'Dumbfounded' At Tesla's Valuation
Tesla's stock is trading at a valuation that is within $2.5 billion of the combined market cap of General Motors and Ford.
Cramer said he is "dumbfounded" as to why it isn't even higher.
"Wake me up when Tesla's double the value of Ford and GM put together," he said. "That's when I might take [a] pause in my bullishness, but only if GM and Ford gain in value from here, because if they decline a double's too easy."
Tesla shares were trading 0.67% higher at $472.20 at the time of publication Wednesday.
Photo courtesy of Tesla.