The stock hit a new 52-week high after exceeding Wall Street’s delivery expectations.
Tesla is starting off 2020 with a bang. This week, the company released its fourth-quarter delivery results, and they handily beat Wall Street’s expectations. This good news caused the stock to rally by nearly 15% and reach a new 52-week high on Friday.
Tesla’s Q4 delivery numbers
During the fourth quarter, Wall Street analysts were expecting Tesla to deliver 106,000 vehicles. The company handily beat this number and delivered 112,000 vehicles.
The Tesla Model S accounted for 92,550 of these deliveries. The Model S is the company’s lowest-priced vehicle. The pricier Model S and Model X made up 19,450 of the company’s deliveries.
Production also reached 105,000 cars, which is a new record for Tesla. The company’s full-year deliveries came to 367,500 vehicles. This figure falls within the company’s forecasted range of 360,000 to 400,000 vehicles, though it is on the low side.
However, management pointed out that Tesla only counts a vehicle as being delivered once it’s been sent to the customer, and the paperwork has been finalized. So the final delivery numbers could be slightly higher.
Tesla is also making progress on its Shanghai plant. The company produced just under 1,000 cars in the plant. According to management, the plant is capable of producing over 3,000 units per week.
Analysts are divided when it comes to Tesla
Few companies seem to bring out the bulls and the bears the way Tesla does. Most analysts are deeply divided when it comes to the stock. The average price target on the company is $300.46, which represents a potential downside of more than 32%.
However, Tesla gained a new bull this week in Canaccord Genuity analyst Jed Dorsheimer. The analyst raised his price target on the stock to $515. Dorsheimer has maintained a buy rating on the stock since February of 2019.
Dorsheimer brushed off the assertion that demand for Tesla vehicles will wane once tax credit expire. He explained, “We believe the trend towards electrification will only accelerate in 2020.”