Today it was revealed that Tesla Motors Inc (NASDAQ:TSLA) has applied for a dealership license within the state of Michigan. The state, which has a law forbidding companies from selling their vehicles directly within their borders, is likely being challenged by Tesla. While Tesla likely knows that this license will not be provided too them, such an application may be a step necessary in order to sue the state over their 2014 law.
“Submission of the application is intended to seek the Secretary of State’s confirmation of this prohibition,” said a Tesla spokesperson in an email to The News. “Once confirmed, Tesla will review any options available to overturn this anti-consumer law.”
Further details related to this application and any potential lawsuit that Tesla Motors Inc (NASDAQ:TSLA) may be considering against the state may be revealed in the company’s quarterly filings next week. It will be interesting to see what becomes of this fight, as it is currently impossible for Tesla to enter the state of Michigan since they do not have a network of dealers selling their vehicles.
The stock is up 4.04% or $7.72 following the news, hitting $198.92 per share. About 4.37M shares traded hands or up 21.73% from the average. TSLA has declined 28.87% since June 25, 2015 and is currently downtrending. It has underperformed the S&P500 by 20.00%.
From a total of 16 analysts covering Tesla Motors Inc (NASDAQ:TSLA) stock, 8 rate it a “Buy”, 3 a “Sell”, and 5 a “Hold”. This means that 50% of the ratings are positive. The highest target price is $465 while the lowest target price is $180. The mean of all analyst targets is $289.65 which is 45.61% above today’s ($198.92) stock price. Tesla Motors Inc was the topic of 30 analyst reports since July 21, 2015 according to the firm StockzIntelligence Inc. JMP Securities initiated shares on December 14 with a “Market Perform” rating. Barclays Capital downgraded shares to a”Underweight” rating and a $180 target share price in their report from an October 9. Evercore maintained TSLA stock in a recent report from November 4 with a “Buy” rating. Robert W. Baird downgraded the rating on October 7. Robert W. Baird has a “Neutral” rating and a $282 price target on shares. Finally, S&P Research upgraded the stock to a “Hold” rating in a report they issued on an October 13.
The institutional sentiment increased to 1.29 in Q2 2015. It’s up 0.01, from 1.28 in 2015Q2. The ratio increased, as 84 funds sold all their Tesla Motors Inc shares they owned while 122 reduced their positions. 66 funds bought stakes while 199 increased their total positions. Institutions now own 76.22 million shares which is 1.63% less than the previous share count of 77.48 million in 2015Q2.
J&P(China)Capital Management Co.Ltd holds 50.38% of its total portfolio in Tesla Motors Inc, equating to 975,058 shares. Andor Capital Management L.L.C. owns 1.00 million shares representing 39.05% of their total US portfolio. Moreover, Zevenbergen Capital Investments Llc has 6.58% of their total portfolio invested in the company, equating to 618,255 shares. The New York-based Long Oar Global Investors Llc has a total of 5.74% of their portfolio invested in the stock. Hhr Asset Management Llc, a New Jersey-based fund reported 488,021 shares owned.
Since April 16, 2015, the stock had 0 buys, and 5 sales for a total of $12.70 million in net activity. Straubel Jeffrey B sold 10,000 shares worth $2.18M. Ehrenpreis Ira Matthew sold 16,698 shares worth $4.26 million. Ahuja Deepak sold 5,000 shares worth $1.29M. Guillen Jerome M sold 1,500 shares worth $373,291. The insider Reichow Gregory sold 10,000 shares worth $2.40 million.
Tesla Motors, Inc. is a United States company, which designs, develops, makes and sells electric vehicles, electric vehicle powertrain components and stationary energy storage systems. The company has a market cap of $25.38 billion. The Firm sells and produces a vehicle under the name Model S, which is a fully electric, four-door, five-adult passenger sedan. It currently has negative earnings. In addition to developing its own vehicles, it develops, sells, and services full electric powertrain systems and components to other automobile manufacturers.