Why Tesla stock rose on Thursday


What happened

You’re here (NASDAQ: TSLA) the stock rose Thursday morning as Wall Street analysts competed to offer increasingly bullish forecasts for the electric carmaker’s “deliveries” in the fourth quarter.

As of 11:40 a.m. ET, Tesla stock was up 3.7% from yesterday’s close.

Image source: Getty Images.

So what

As reported by TheFly.com, yesterday analysts at RBC Capital predicted that when Tesla releases its sales data for the fourth quarter, it will reveal that the company sold 285,000 electric cars in the quarter, up 18% sequentially from the previous quarter and 58% year on year on the other.

If RBC were right about this, Tesla would also end up selling 8.6% more cars than even RBC initially expected, and 6.7% more than the “consensus” number of 267,000 – but that’s not the case. the best news for Tesla investors.

This morning the investment bank Swiss credit RBC rose with a prediction that Tesla’s deliveries could be even higher. According to CS, Tesla will deliver 290,000 electric cars in the fourth quarter.

Now what

And even this isn’t the best news for Tesla investors.

As my colleague Fool Daniel Sparks pointed out earlier this week, Tesla is currently only 122,428 vehicles away from meeting its self-imposed goal of delivering 750,000 electric cars by 2021. If the figures from Credit Suisse are correct, Tesla will eventually sell 155,000 cars in December. alone – hitting their internal goal in just one month, instead of the planned three.

In a final note, CS confirms Tesla CEO Elon Musk’s own observation that “Tesla has much more demand than production.” As car buyers clamor for its cars, the only thing stopping Tesla from increasing sales even more at this point is Tesla’s limited ability to produce the cars as fast as customers want to buy them.

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Rich Smith has no position in the stocks mentioned. The Motley Fool owns and recommends Tesla. The Motley Fool has a disclosure policy.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


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