Does Tesla's Delivery Miss Matter To Wall Street?

Tesla Motors Inc (NASDAQ: TSLA) shares fell as much as 2.8 percent after the company reported lower-than-expected deliveries for the first quarter, due to parts shortage for Model X from suppliers. This paints a volatile picture for the Model 3 deliveries.The company reported 14,820 deliveries for the first quarter, below the guidance of 16,000 despite a 50 percent year-on-year increase in deliveries. Deliveries for Model S stood at 12,420, while for Model X were 2,400.Let's see whether the deliveries miss matters to Street:FBN Securities – Outperform, TP $325"In any case, the near-term results are rather meaningless compared to the huge Model 3 opportunity ahead. TSLA has had preorders of ~276K so far (and counting) for this device, so we believe that the key challenge for the company will be on the production side vs. the demand side.""TSLA is addressing all three root causes to make sure that they are not replicated with the key Model 3 launch."Deutsche Bank – Hold, TP $280For Tesla, the key challenge will be execution. We remain believers in Tesla's growth plans. But we seek to gain additional confidence in two areas that have surprised in the past: 1) The costs/investments involved in achieving this growth; and 2) Tesla's ability to achieve challenging targets, including the ramp from 50k to 500k+."http://www.benzinga.com/analyst-ratings/analyst-color/16/04/7803185/deutsche-bank-teslas-key-challenge-continues-to-be-execuPacific Crest – Sector Weight"While the shortfall appears one-time in nature, it highlights the difficulty of ramping a new car, which could carry risk to delivering the Model 3 on time and within budget in the future. Given the current optimistic sentiment built into the name from Model 3 and our views of mixed demand trends for its current products, we continue to struggle with fundamental upside scenarios on the name and remain Sector Weight."Read more: http://www.benzinga.com/analyst-ratings/analyst-color/16/04/7802496/erickson-teslas-model-x-production-issues-paint-volatile#ixzz44y1KOODuCredit Suisse – Outperform, TP raised to $280 from $240"Continued Model S order growth and spectacular interest in Model 3 support our view that demand will continue to outpace production through the fcst period. This puts Tesla in an enviable position, but significant growth in the shares from here will likely require evidence of earnings improvement and cash burn reduction.""In our view, now that Model X production is on-plan, everything is in place for that to happen. We expect some evidence of improvement in Q2, but much more meaningfully in the back-half as overall production increases and Model X inefficiencies diminish."http://www.benzinga.com/analyst-ratings/analyst-color/16/04/7802624/credit-suisse-hikes-tesla-target-to-280-after-delivery-mGlobal Equities Research – Overweight, TP $385Global Equities' Trip Chowdhry believes the pullback in Tesla shares offers an attractive buying opportunity, especially given that Model X production issues seem to be reaching an end and meaningful catalysts are expected for the remainder of FY16.Read more: http://www.benzinga.com/analyst-ratings/analyst-color/16/04/7801909/buy-tesla-on-pullback-global-equities-says-were-at-tail-#ixzz44y6CddJfShares of Tesla were flat at $246.98.