Tesla Motors beats Car-Sales Forecast for Q2
Tesla Motors has reported that it has beaten its car-sales prediction for the second consecutive quarter. The electric car-maker has witnessed a 52% rise in the second quarter of the year.
The shares of the company increased 4% amounting to $280.02. This year, Tesla has jumped 26%. In the second quarter, the company has sold 11,507 Model S sedans. In May, the company has predicted that it would be able to sell 10,000 to 11,000 of the cars, its only model, in the second quarter.
It is said that the output as well as deliveries will increase once the Model X sport utility vehicle will be introduced this quarter. Dan Dolev, a Jefferies LLC analyst, said that there are many expectations from the Model X and the company has to fulfill those expectations.
All the factors needed for the model's success, including the execution, demand and delivery are there. Therefore, it has been said that all the areas are positive and encouraging. Dan Galves, a Credit Suisse analyst, said that guidance for the second quarter did not such much of growth.
"It made the back half look real tough. Now that you've done 15 percent growth versus Q1 it's pretty solid. The company only has to do maybe 13 percent per quarter on the back half now", affirmed Galves.
Tesla has plans to start selling a lower-priced third car in 2017. The company is also building the world's largest battery factory near Reno, Nevada. With this, it has been making an effort to reduce costs and also, to increase auto production to 500, 000 in 2020.