Tesla Loses Valuation Race to Berkshire as Growth Stocks Sputter

  • EV maker loses over $360 billion in market cap from Sept. high
  • Berkshire outranks Tesla amid a surge in value equities

A Tesla store in San Francisco.

Photographer: David Paul Morris/Bloomberg
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After a $360 billion rout, Tesla Inc. has just been supplanted by old-economy stalwart Berkshire Hathaway Inc. as the fifth-biggest company in the S&P 500 Index.

The Elon Musk-led electric-vehicle maker’s shares closed with a market valuation of $604 billion Tuesday, versus nearly $645 billion for Warren Buffett’s conglomerate, underscoring this year’s great economic upheaval as former high-flying technology stocks plunge anew while industrial companies outperform.