- Wedbush Securities analyst Dan Ives says the ~500K deliveries for Tesla (NASDAQ:TSLA) in 2020 is a major feather in the cap for the company and its trailing army of bulls after the company saw robust Model 3 demand over the last 10 months of the year, despite the hurricane-like consumer headwinds with COVID backdrop.
- Looking ahead to 2021, Ives thinks EV demand is inflecting globally, with China a key region.
- "China remains a greenfield EV market opportunity as we believe overall EV sales can potentially double in the region over the next few years given the pent-up demand for EV vehicles across all price points. We believe China (coming off what looks like a robust November/December) could see eye popping demand into 2021 and 2022 across the board with Tesla's flagship Giga 3 footprint a major competitive advantage, as domestic players such as BYD, Nio, Xpeng, and Li also are also firing on all cylinders. If China stays on its current path for Tesla, Musk & Co. could hit one million delivery units globally by 2022 (currently we are modeling 2023 timeframe)."
- In other Tesla news, the company entered into a 2021 pricing agreement with Panasonic on December 29 that was effective as of October 1 until March 31, 2022. The agreement relates to Panasonic supplying lithium-ion battery cells manufactured in Japan.
- Shares of Tesla are up 1.82% in premarket trading to $718.70 and have traded as high as $721.55 in the early session after the atuomaker topped Q4 deliveries expectations.