Many analysts are bullish on Tesla Inc (NASDAQ:TSLA), believing that the much-anticipated electric sedan, the Model 3, will be a massive hit for the automaker. At the same time, many analysts on Wall Street believe that the failure of the Model 3 could damage Tesla, even the automaker could go out of business.
So, the Model 3 is very important for Tesla.
On Sunday, CEO Elon Musk said on Twitter that Tesla is ready to start delivering the Model. The automaker received federal approval to begin production of its first mass-market electric car.He noted that the low-priced Model 3 “passed all regulatory requirements for production two weeks ahead of schedule.” The company plans to expand production to 20,000 vehicles per month in December. This month, the company is expected to produce less than 50 cars.
Musk noted that the low-priced Model 3 “passed all regulatory requirements for production two weeks ahead of schedule.”The company plans to expand production to 20,000 vehicles per month in December. This month, the company is expected to produce less than 50 cars.
Tesla plans to expand production to 20,000 vehicles per month in December. This month, the company is expected to produce less than 50 cars. According to Musk, Tesla is holding a “handover party” on July 28 for the first 30 buyers of the Model 3.
Tesla Has ‘a Clear Advantage Over Competitors’
James Albertine, senior automotive analyst at Consumer Edge Research, believes that Tesla Inc (NASDAQ:TSLA) has a clear advantage over its competitors, CNBC reported.
Albertine said on CNBC’s Squawk Box show that the automaker could earn big rewards over the next six months “as the first of the highly anticipated Model 3 sedans begin to roll out.”
“We’re more optimistic. We think the Model 3, when you think about it, 400,000-plus standing orders for vehicles, and manufacturers all across the country (are) wondering who’s in line for their vehicles,” Albertine said, adding that “Tesla with the clear advantage, in our view.”
Tesla received 400,000 pre-orders for Model 3. The electric car is selling for $35,000, meaning a potential future sales value of around $14 billion.
Meanwhile, shares of Tesla Inc (NASDAQ:TSLA) closed down 2.49% on Monday. The stock is up more than 65% so far this year. During the last 12 months, the automaker’s share price has increased around 63%.