Electric vehicle giant Tesla (TSLA) has been pushing hard to make sales going into the end of the year, and the hits just keep on coming, at least for now. In fact, it just showed off new lease terms for the Model S, and should deliver a few sales that would not have been there otherwise. The news did not help matters much with shareholders, though, who sent Tesla shares down fractionally in Wednesday afternoon’s trading.
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Tesla’s Model S is a higher-end Tesla, and this will be reflected in the lease terms. A 36-month lease offers 10,000 miles per year in driving, but requires $1,549 per month with an additional $9,744 due on delivery. So, yes, you will pay nearly $30,000 for your first year driving a Model S. That is a price tag which could get you quite a few used cars of solid quality, owned outright.
Those who find their Tesla Model S too good to part with even get a purchase option, though reports note that availability may vary by state. That price tag will likely balk some potential drivers. However, the fact that it compares frequently to some of the leading names in vehicle out there, as well as standing on its own merits like charging network availability and acceleration times, the end result should be worthwhile for many.
Grid Backer
Tesla was always known for its electric vehicles, but its batteries have also landed a lot of respect. Especially when used with households or for overall power grid support. And Tesla just landed another such project, signing on with the United Kingdom’s Matrix Renewables for a one gigawatt-hour Megapack project.
The new project will be in Eccles, Scotland, and offer up fully 500 megawatts of power capacity with one gigawatt-hour of energy capacity, reports note. Tesla vice president of energy and charging, Mike Snyder, noted, “We are excited to support Matrix Renewables with their entry into the UK, bringing Tesla’s track record in the market together with Matrix Renewables’ expertise and vision. We highly value the partnership with their team and look forward to executing this landmark project together.”
Is Tesla a Buy, Hold or Sell?
Turning to Wall Street, analysts have a Hold consensus rating on TSLA stock based on 11 Buys, 12 Holds, and nine Sells assigned in the past three months, as indicated by the graphic below. After a 6.92% rally in its share price over the past year, the average TSLA price target of $385.34 per share implies 20.6% downside risk.
