Tesla, Inc.TSLA is reportedly not only struggling with its Model 3 production target in the United States but also extending the launch of this model in overseas markets. The electric-vehicle manufacturer now expects to launch the vehicle next year.
The company's CEO, Elon Musk informed that the left-hand drive of Model 3 will be rolled out in the first half of 2019 in Asia and Europe. The company initially targeted to release the vehicle in the later-half of 2018. Further, the right-hand drive Model 3 units for the United Kingdom and other countries are anticipated to launch in the middle of 2019.
Tesla has been struggling to manufacture 5,000 Model 3 units as a weekly target by the end of second-quarter 2018. In order to meet the target, the company announced the addition of another working shift for general assembling, body and paint at its hub in Fremont, CA. Earlier, in the first quarter, Tesla manufactured 2,020 Model 3 vehicles per week, lagging from its target of 2,500 units.
Tesla, Inc. Price and Consensus
Additionally, Musk announced that Tesla is holding the production of the low-cost Model 3 sedan version. The $35,000 low-cost version will be available after the company reaches its goal of producing 5k units of premium edition every week.
In the past three months, Tesla's stock has moved down 11.8%, underperforming 3.5% decline of the industry it belongs to.
Zacks Rank & Other Stocks to Consider
Tesla currently carries a Zacks Rank #2 (Buy). A few other top-ranked stocks in the auto space are BMW AG BAMXF , Ferrari N.V. RACE and General Motors Corporation GM , each carrying a Zacks Rank of 2. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here .
BMW has an expected long-term growth rate of 4.5%. Shares of the company have risen 6.3% over the past year.
Ferrari has an expected long-term growth rate of 17.3%. Shares of the company have risen 47% over the past year.
General Motors has an expected long-term growth rate of 5.5%. In a year's time, shares of the company have gained 9.9%.
Will You Make a Fortune on the Shift to Electric Cars?
Here's another stock idea to consider. Much like petroleum 150 years ago, lithium power may soon shake the world, creating millionaires and reshaping geo-politics. Soon electric vehicles (EVs) may be cheaper than gas guzzlers. Some are already reaching 265 miles on a single charge.
With battery prices plummeting and charging stations set to multiply, one company stands out as the #1 stock to buy according to Zacks research.
It's not the one you think.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.