Here some good news for Tesla Motors and its stock holders. The electric-car makers stock increased the most in more than four months after a Morgan Stanley analyst said that the unprofitable electric-car maker will benefit from a shift away from internal-combustion engines.
Tesla’s shares surged $4.04, or 17 percent, to $27.75 at 4 p.m. (Eastern Time) on the Nasdaq Stock Market composite trading, the biggest increase since Nov. 10.
“Tesla has a viable opportunity to be a significant volume player in the global auto industry,” said Adam Jonas, a Morgan Stanley analyst based in New York. “The transformation from California startup to global auto player may require well more than a decade to achieve — not unlike the genesis of many of today’s established automotive companies.”
Electric-vehicle sales may increase 5.5 percent of global sales by 2020 and more than 15 percent by 2025, Jonas said. He said that Tesla may sell 500,000 electric-vehicles by 2025.
Earlier this week, Tesla said more than 1,500 units of the Roadster have been delivered since the model was introduced in 2008. The company hopes to produce 20,000 units of the Model S electric sedan by 2013.
– By: Omar Rana