Tesla is on the rise again, as its shares passed the $200 mark and its fourth-quarter results proved better than analysts expected.
According to the California-based company, growth on its Model S will continue this year, with a planned production spike of 56% for the model and the construction start of its massive battery plant.
Although it’s youngest publicly traded US automaker and in 2012 Tesla had a loss of 65 cents a share, for 2013 the electric automaker posted impressive results, with fourth-quarter earnings of 33 cents a share and a total year sale of 22,450 Model S units. Poised for expansion in Europe but especially in China, Tesla predicts 35,000 Model S deliveries for 2014.
“Tesla continues to improve in the key metrics used to measure a young automaker,” said Karl Brauer, an analyst at industry researcher Kelley Blue Book. “The potential for increased demand in foreign markets should keep things moving in the right direction, but Tesla ultimately remains constrained by limited production capacity and a pricing structure that’s out of reach for 90-plus percent of the market.”
Thanks to the solid quarter but also due to an “Apple speculation”, with CEO Musk meeting with a Cupertino executive last spring, this week Tesla’s shares rose above $200 for the first time – and spiked 13 % to $218.09 in New York regular trading, valuing the young carmaker at $23.7 billion.