UPDATE: Stifel Nicolaus Initiates Coverage on Tesla Motors on Mixed Factors
In a report published Thursday, Stifel analyst James Albertine initiated coverage on Tesla Motors (NASDAQ: TSLA) with a Hold rating.
In the report, Stifel noted, “We are initiating coverage of Tesla Motors with a Hold rating. We think TSLA is a stand out even among history's most successful auto start-ups. No other automaker could (or would) have been able to capitalize on current political and consumer momentum for electric vehicles, in our view. But, we believe valuation discussions must now shift focus from ‘one-hit wonder' to ‘long-term sustainability'. Risks ahead are significant and we think under-appreciated. OEMs, parts suppliers and retailers all have TSLA locked in their sights. TSLA might have 1-2 years of order backlog to work through, but as of yet, little evidence of customer retention or conquest at lower price points.”
Tesla Motors closed on Wednesday at $149.58.
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