When most middle class adults think about owning a Tesla Motors Inc (NASDAQ:TSLA) vehicle, it’s usually just a pipe dream. Sure it would be nice, certainly it would be a fun ride, but more than likely they can’t afford one. That is until now. As a special limited time offer, in wake of the slow winter car-buying season, Tesla has just announced quite an enticing offer, perhaps to get you hooked on their vehicles.
The Tesla Motors Inc (NASDAQ:TSLA) Model S sedan is now available on a 3-year lease option for just $698/month. This seemingly is a price tag that a good amount of middle class individuals could afford. There are a few catches but not many. First, there is a rather large sum of $6393 due at signing, an amount not everyone can dish out right away. The other minor caveat is that the $698 lease option is for a package that includes just 10,000 annual miles — although other more expensive packages are available for additional miles.
The total cost of getting to drive this vehicle for 3 years — sans your electric bill — comes out to $31,521. Not bad, considering the car has a base price of around $71,000. It’s evident here that Tesla knows they will be releasing some more affordable vehicles in the near future, and by opening their brand up to a larger potential customer base means they can get more drivers hooked on their high tech vehicles prior to the release of such cars. You would think this would lead to an increase in overall cars leased. The question is, will it ultimately lead to a better bottom line for Tesla Motors Inc (NASDAQ:TSLA)?
The stock increased 1.29% or $2.58 during the last trading session, hitting $202.55. About 610 shares traded hands. TSLA has declined 22.66% since June 18, 2015 and is downtrending. It has underperformed the S&P500 by 11.64%.
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 43.00% above today’s ($202.55) 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 insider purchases, and 5 insider 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 $1.29 million. 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 $26.52 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.