The electric carmaker intends to use the proceeds from surging stock prices to fund the new Gigafactory near Austin, Texas, and future projects, including a new battery technology and robotaxi.

Elon Musk's Tesla will sell up to $5 billion in new stock, according to a filing with the Securities and Exchange Commission on Tuesday.

The electric carmaker said that it will use the new gains to "further strengthen our balance sheet, as well as for general corporate purposes".

Tesla has gained almost 500 percent in 2020 as of Monday's closing, according to CNBC News. Its shares soared even more after Tesla announced a five-for-one stock split on 11 August. After the split took effect on Monday, the company's shares went up 12.6 percent, pushing Tesla's market capitalisation to around $464 billion. On Tuesday, however, its stock ended the session 4.67 percent lower.