Ron Baron, founder of Baron Capital.
Anjali Sundaram | CNBC
Billionaire investor Ron Baron sold 1.8 million shares of Tesla during the last six months for clients despite believing the stock will increase to $2,000 over the next 10 years.
Baron, a longstanding Tesla shareholder, said Thursday morning on CNBC’s “Squawk Box” that his namesake firm sold the shares because they were becoming too large a percentage of some portfolios.
“It was painful selling every single share,” he said, adding that he has not sold any of his 1.125 million shares of the electric carmaker.
Baron Capital held just over 6.1 million Tesla shares as of Feb. 28. They were purchased at an average cost per share of $42.34.
Shares of Tesla are up 338% in the past year to $653.20 a share. Its market cap is about $619.2 billion.
“We’re looking for a lot more,” Baron said regarding Tesla stock.
In June, Baron told CNBC he believed that “there’s 10 times more to go” on the upside on Tesla stock. Shares have since shot higher. Then in October, Baron said he believed Tesla would eventually become a $2 trillion company. As of Monday, Tesla’s market capitalization was a little more than $600 billion.