Tesla Confirms Pricing and Launch Date of Model S
|Tesla Model S: Image used with permission from Tesla.|
Tesla (TSLA) officially announced the pricing, options and timing for next year´s US launch of the Model S this week. There have been some worrying rumors that the company would forced to raise its prices due to cost factors. Consequently, the good news for Tesla stock is both that the pricing has been held steady and that the summer launch date remains in place. Confirmation of both of these factors is certainly welcome news.
Firstly, the official pricing for the US market remains as previously indicated:
- The starting price for a Model S with a basic 40 kWh battery (160 miles) comes in at $49,900 after the $7,500 Federal Tax Credit.
- The price for a Model S with a 60 kWh battery (230 miles) comes in at $59,900 after the Federal Tax Credit.
- The price for a Model S with a 85 kWh battery (300 miles) comes in at $69,900 after the Federal Tax Credit.
- The price for a Model S Performance with a 85 kWh battery (300 miles) comes in at $79,900 after the Federal Tax Credit. The Performance model can do 0-60 mph in 4.4 seconds - faster than the Porsche 911 Carrera.
Secondly, Tesla has officially confirmed that the company is on schedule to deliver the first Model S vehicles in the summer of next year. The schedule remains:
- Summer 2012 - Production of the Model S with 85 kWh battery and the Model S Performance
- Autumn 2012 - Production of the Model S with 60 kWh battery
- Winter 2012 - Production of the Model S with 40 kWh battery
You can see the detail of all of the pricing and options on Tesla´s new web page outlining the everything you need to know about the Model S.
Both the pricing and the timing for the Model S are of course key factors with regard to which the market has been looking for confirmation. The fact that the company is on track to meet both commitments is clearly bullish for the stock. Consequently, we remain bullish on Tesla and expect to see a retest of the $34.94 November high.
You can read our last article recommending Tesla and discussing the company´s recent deal with Mercedes here. Finally, you can read an in depth discussion of Tesla and the future of the electric car here.
Disclosure: I am long Tesla (TSLA)
About the Author: Clean Energy Intel is a free investment advisory service (available at www.cleanenergyintel.com), producedby a retired hedge fund strategist who also manages his own money inside a clean energy investment fund.