Toyota Motor’s shares have reached their highest level since 2009, after the company revealed plans for its next-generation electric vehicles and received approval for its new leadership during its annual meeting. Shares of Toyota on the New York Stock Exchange rose 1.6% during intraday trading on Thursday, reaching a new 52-week high of $168.18 per share, and rising by roughly 13% throughout the week. If the momentum continues, it will be the stock’s best week since April 2009, and only the third double-digit weekly gain in more than two decades.
Toyota Outlines Plans for New Generation of EVs
Ahead of its annual meeting, Toyota announced plans for a new generation of electric vehicles that will rival Tesla and BYD. The company aims to launch its next-generation EVs starting in 2026, including vehicles with “solid-state batteries” by 2027 or 2028. Solid-state batteries are lighter, with greater energy density and provide more range at a lower cost than today’s EVs with lithium-ion batteries. The company is targeting a driving range of 1,000 kilometers (620 miles) for its EVs. BEV Factory, a subsidiary of Toyota, aims to produce around 1.7 million vehicles by 2030.
Toyota’s Shareholders Approve Leadership and Board
Toyota’s shareholders approved the company’s new leadership and board, including the appointment of CEO Koji Sato as a director and former CEO Akio Toyoda as chairman. Shareholders also voted down a shareholder proposal requiring Toyota to review its climate-related lobbying activities. Following the announcement of the company’s EV strategy and leadership approval, Toyota’s shareholders voted in favor of the company’s recommendations.
Toyota’s shares have risen by approximately 23% this year, as the auto industry recovers from the COVID-19 pandemic and supply chain issues that led to record low levels of vehicle inventory. Toyota’s gains put it in the middle of Japanese automaker stocks, ahead or in-line with the Detroit automakers, and behind shares of Tesla, which have more than doubled in 2021. Other automaker stocks that have performed well this year include BYD, Honda, and Ford Motor.