The company Elon musk demonstrated the updated model of the Model S with the largest reserve for the serial electric vehicles. Experts expect the company to continue growth in the long term
June 16, Tesla presented a new modification of the electric vehicle Model S, which received the designation Long Range Plus. Updated machine has become the world’s first production electric vehicles able to travel without recharging more than 400 miles, and it is 402 miles (650 km). Such a result, the car showed on the tests.
Tesla improved range thanks to the use of lighter materials in construction, more efficient battery packs and the system of recuperation of kinetic energy, and due to special wheels with a reduced 2% resistance.
Tesla Model S now the first ever electric vehicle to receive the EPA range rating above 400 miles! https://t.co/EOTwVfvHS5
— Elon Musk (@elonmusk) June 15, 2020
According to the Agency for the protection of the United States environmental protection Agency (EPA), the nearest competitors Model S — the Chevrolet Bolt EV General Motors (GM) and Nissan Leaf Plus the Nissan is able to overcome on a single charge 238 and 226 miles respectively.
While Tesla has reduced the price of Model S Long Range Plus on $5 thousand — the electric car you can buy for $74,9 thousand
News about overcoming Model S 400 miles on a single charge along with the data about growth of orders has contributed to the growth of quotations of Tesla. June 17, as of 20:20 GMT its shares traded above $1 thousand Since its IPO on 29 June 2010, the shares of Tesla have risen more than 50 times.
Analysts Tesla is impressive, but the rapid growth of the shares they do not expect
The growth of Tesla stock exceeds all the experts ‘ forecasts: the consensus guideline FactSet stock of the company is $683, rating “hold”. However, investors that don’t stop — and probably a serious decline in quotations should not wait.
“Bridging the 400-mile mark is a huge achievement for the research team Tesla, quoted Barron’s Wedbush analyst Dan Ives. — It is possible to achieve innovation in design and battery technology, and this indicates the fact that Tesla is on top of the market of electric cars and left the competition behind.”
Ives appropriated to the securities of the Tesla rating of “hold”. In his opinion, over time, electric cars will get rid of problems with a small reserve. And battery technology has the potential to reduce costs relative to cars with petrol engines that will enable more people to switch to electric vehicles.
His opinion is shared by New Street Research analyst Pierre Ferragu, advised Tesla stock to buy with a target price of $1 thousand At the time of writing it has already achieved.
Tesla and all the rest: how to invest in the business Elon musk
Russian experts also believe the current price of Tesla stock is quite fair.
According to the Director of analytical Department of company “freedom Finance” Vadim Merkulov, there is a possibility that in the coming months, Tesla will be included in the S&P 500 index, which will attract new investors and will contribute to the stabilization of the quotes around $1 thousand
He noted that future quotes Tesla will affect the timeliness of the launch of factories in Shanghai and Berlin, the construction of which may be delayed from three to four months due to measures to reduce the spread COVID-19.
Merkulov also noticed that the growth of Tesla contributed to the appeal of the Mask to the employees, in which he called for a focus on the development of the segment of trucks. However, according to experts, this statement could be rather seen as an attempt to divert public attention from the recent IPO Nikola Corporation. This is a Tesla competitor in the truck segment.
Shares of rival Tesla jumped by 104%. It is unprofitable and has no sales
“With positive projections, we can see a rally to $1.3–1.4 thousand per share. We remain neutral in the short term on Tesla stock, as they reached target prices of $1 thousand, Our assessment will be revised according to the results of forecast management at the time of disclosure statements,” said a senior personal broker in the international markets of the company “BCS” Alexander Bartenev.
In the first quarter of 2020, Tesla produced more than 102 thousand of electric cars. According to estimates Elon musk, in the second quarter, the company will produce more than 83 thousand cars. It is expected that Tesla will release the second quarter report July 22.
Bartenev added that for long-term investors in Tesla, an important criterion is the growth of the market of electric cars in General. And according to the forecasts of Bloomberg, sales of electric cars can significantly grow in 2021 because of an expected fall in the price of batteries, the development of infrastructure for charging and distribution sales to new markets.
“By 2025, Bloomberg predicts 8.5 million cars on electricity from the current 1.7 million per year. This means the potential market growth of 40% per year. We do not deny the significant growth potential of the stock in future years. Paper Tesla remain volatile and is not suitable for all investors, especially at current prices. However, for long-term investors of the stock can show a significant risk premium”, — summed up Bartenev.
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