While for much of the period from the Thanksgiving holiday in the US, the California-based automaker saw its shares dipping as much as 13% on investor concern, the prospects for long term growth seem to turn the tide once more.
With some industry observers claiming that Tesla’s home market sales were lower than usual in November and further concern that the continuously low gas prices might dent along the route the company’s sales, Tesla was down as low as $204.27 on the New York Stock Exchange. Now, the company has returned to a higher valuation of $216.89 at the close yesterday – as other analysts point out that speculation is actually rather overblown.
The low gas prices might not have a long-term impact on Tesla, with its customers already rich enough to not be concerned with the cost of the gas tank. “People who are buying Tesla today don’t really care if gas is cheap or expensive. They want it because it’s a status symbol or for the performance or they are very eco-conscious,” thinks David Whiston, an auto analyst with Morningstar Inc. in Chicago.
On the other hand, even with the cheaper gas – now at a four-year low – customers last month still bought hybrid and electric cars, deliveries for the segment growing 1.6% in November.