Home » Money

Tesla Ready to Launch Model 3

07 July, 2017, 00:44 | Author: Paula Vaughn
  • Tesla Model S- front cornering

Tesla Inc. (NASDAQ: TSLA) is no stranger to having extreme views by investors and analysts.

The weakness is the result of reporting disappointing delivery numbers on Monday followed by a bearish analyst note from Goldman Sachs (GS).

While the company has to be appreciated for catching up and moving ahead of the shortfall, there is one more factor that Elon Musk is contributing the success to.

Provided global economic conditions do not worsen considerably, the company is confident that combined deliveries of Model S and Model X in the second half of 2017 will likely exceed deliveries in the first half of 2017. It was only in February that Goldman Sachs lowered its official rating of Neutral down to Sell.

Tamberrino cut his stock price target to $180, which is 46% below current levels, from $190.

The electric vehicle giant, the brainchild of the charismatic Elon Musk, announced Monday it would produce its first mass-market Model 3 sedans Friday, two weeks ahead of schedule, with the first deliveries set for July 28.

Tesla Motors is preparing to begin production on its latest electric vehicle at the end of this week.

Merkel, Turkey's Erdogan to hold talks on sidelines of G20
Germany wants everyone to benefit from economic progress rather than only a few, she said. The two-day meeting is of particular significance as the U.S.

The UK price for the Tesla Model 3 has not yet been confirmed, but the base price in the U.S. will be $35,000 (about £27,000).

The maker of Model S saloons and Model X 4x4s has reported quarter-by-quarter shipment declines for the second time in the past year. Fleet sales in June of 75,583 vehicles were down 13.9 percent.

The company produced 1.1% fewer cars in the previous quarter, which stood at 25,418. Tesla plans for first deliveries of the vehicle to take place in Q4 2017. The company expects production to ramp from about 100 vehicles in August, to more than 1,500 in September and to 20,000 a month by December. "It should also be noted that production quality and field reliability of the Model X, for which Tesla has been fairly criticized, have improved dramatically", the company said.

There were also issues affecting deliveries, specifically a production shortage of battery, that was resolved in June. Of its existing vehicle offers, just 47,100 Model S and Model X got delivered over the last 6 months.

The mid-range model, unveiled in March 2016, is a crucial piece of Musk's ambitions to transform Tesla into a large-scale vehicle manufacturer.

Tesla's shares are shaping up to possibly have their worst week of the year so far as lower-than-predictable production, raised competition and a review from an industry group weigh on the electric carmaker.

Recommended:

  • France announces plan to ban all petrol and diesel vehicles

    France announces plan to ban all petrol and diesel vehicles

    French automakers Renault and PSA, the maker of Peugeot and Citroen cars , are both partially owned by the state. How the ban will be implemented, and whether it includes a ban on hybrid cars is still to be announced.
    Harrowing details emerge regarding Damien Wilson arrest

    Harrowing details emerge regarding Damien Wilson arrest

    The 24-year-old made headlines last July when he missed the beginning of training camp after being hit in the eye by a paintball. Police said Wilson was released from jail after posting $20,000 bond. "We will not have a comment at this time".

    Gordon Hayward to leave Utah, sign with Boston Celtics

    At best, Hayward immediately vaults the Celtics into the Eastern Conference's top tier, true competitors with the aging Cavaliers. The 27-year-old will join the Celitcs to reunite with Boston head coach Brad Stevens , who coached him in college at Butler.
  • Virginia governor will not halt inmate's execution

    Virginia governor will not halt inmate's execution

    Eric Sutphin and hospital security guard Derrick McFarland , in 2006 in Blacksburg, Virginia, calls for clemency have been rising. Morva's lawyers said a more serious delusional disorder was not diagnosed until the appeals process.
    The White House Gender Pay Gap Is Worse Than The US Average

    The White House Gender Pay Gap Is Worse Than The US Average

    Past reporting indicates the disparity is not new to the Trump White House - though it may be more pronounced. The gap is due in part to the dearth of women at the highest levels of the Trump White House.
    Chinese state-run media threatens India of dire consequences

    Chinese state-run media threatens India of dire consequences

    Their first formal codification in treaty form was in an agreement between China and India in 1954. The editorial said India would suffer greater losses than it did in 1962, if it incited conflict.
  • Overwatch Lore Update Teases Doomfist

    Overwatch Lore Update Teases Doomfist

    What Do We Know About Doomfist? As Jeff Kaplan wrote in the forums a bit before Orisa's first tease: "We have new heroes coming". Or is this just another in a long line of teases about the character? Do you think Doomfist will come to Overwatch this summer?
    Fed Minutes Will Be Parsed for News on Balance Sheet Plans

    Fed Minutes Will Be Parsed for News on Balance Sheet Plans

    Washington political gridlock is also starting to creep into the outlook of the Fed's business contacts, the minutes showed. Fed officials updated their balance-sheet policy in the gathering, laying out a path of gradual reductions with caps.
    Abraham determined to prove Premier League quality at Swansea

    Abraham determined to prove Premier League quality at Swansea

    Swansea are also closing in on Las Palmas midfielder Roque Mesa, with the player set to undergo a medical on Wednesday. Llorente has been linked with a move to none other than Chelsea , while Baston looks set to join Malaga on loan.
  • Indian troop withdrawal 'precondition' for peace: China

    Indian troop withdrawal 'precondition' for peace: China

    The statement comes as the armies of both countries are caught in a lengthy stand-off at the border near Sikkim. In order to add some muscle to its bullying China has sent a submarine to the Indian Ocean.
    Summer's annual blood shortage at critical stage, Red Cross says

    Summer's annual blood shortage at critical stage, Red Cross says

    Donation appointments are encouraged to reduce possible wait times at blood donation sites. If you would like to donate blood, come out to our station at 2807 Hershberger Road today.
    Hope I'm able to justify SRK's talent in 'Jab Harry…': Imtiaz Ali

    Hope I'm able to justify SRK's talent in 'Jab Harry…': Imtiaz Ali

    Further speaking on the same, Shah Rukh said, "We respect CBFC". "I'm happy that I got a chance to work with The Shah Rukh Khan ". Meanwhile, Shah Rukh Khan was slightly delayed in his arrival at the event and tweeted, "Will be at Tamasha in 45min".


Popular

Clay Higgins' Auschwitz Gas Chamber Video Condemned
Auschwitz-Birkenau Memorial and Museum reacted to the congressman's video, saying the former gas chamber "is not a stage".

Poland Set to Host Trump's First Major Public Speech in Europe
Preparing for the trip, Trump spoke Monday with German Chancellor Angela Merkel and Italian Prime Minister Paolo Gentiloni. He is expected to praise Poland for being one of a handful of North Atlantic Treaty Organisation members that do so.

NYPD officer 'assassinated' in the Bronx; suspect killed
Officer Familia had served with the New York City Police Department for 12 years and was assigned to the 46th Precinct. Familia is the eighth New York City police officer shot and killed in the line of duty over the last five years.

AFP lauds SC ruling on Martial Law in Mindanao
Mr Duterte said that he could indeed extend it and he also threatened to extend it if necessary to the whole country. The martial law is legally limited to 60 days, and the green light of the parliament is necessary to prolong it.

Details of Microsoft's massive new sales reorg emerge
The magnitude of the potential layoffs is unclear, but the WSJ says they will likely occur in offices all around the globe. The impending shake-up may be the result of executive changes within the past year.