Making Sense Of Tesla's Vehicle Delivery Miss

• After the market closed on Friday, Tesla Motors Inc TSLA announced that it delivered 11,580 vehicles in the third quarter of the year, falling short of its guidance for ~12,000 vehicles.
• Following the news, Oppenheimer reiterated an Outperform rating and $340 price target on the stock.
• Shares of Tesla were flat on Monday.

In a report issued Sunday, analysts Colin Rusch and Noah Kaye point out a few key issues to take into account regarding the slight delivery miss.

• Management said that downtime related to the launch of the Model X, which had been included in its guidance, impacted production and shipments negatively. It should be noted, however, that while shipments fell 3.5 percent below guidance, the actual number of vehicles not shipped (420) is quite small. The analysts believe the difference can be made up in the fourth quarter of 2015.

Related Link: Oppenheimer Reviews Tesla's Model X: 'Impressive As Expected'

• Having finally completed the launch of the Model X, development spending is bound to moderate, leading to improved operating leverage, “especially given the extensive sales and service build-out over the last two years.”
• The analysts think investors will focus on the company meeting its shipment guidance for the full year, the launch of Tesla’s stationary storage business, and “progress on the Gigafactory and development of the Model 3.”

Disclosure: Javier Hasse holds no positions in any of the securities mentioned above.