Tesla Motors (TSLA) New Lease Program for Small and Midsized Businesses a Positive, Baird Says
- Top 10 News for 5/23 - 5/27: Computer Sciences to Acquire Key Enterprise Asset; Bayer Makes Run at Monsanto; Twitter has 'Character' Change
- Wall Street puts finishing touch on best week since March
- Marketo (MKTO) Deal Talk to Force Microsoft's (MSFT) Big Wallet Into Action
- Thermo Fisher (TMO) to Acquire FEI Company (FEIC) in ~$4.2B Deal
- Valeant Pharma (VRX) Rejected Joint Takeda, TPG Takeover Approach - WSJ
Baird analyst Ben Kallo reiterated an Outperform rating and $275 price target on Tesla Motors (NASDAQ: TSLA) on news of a leasing program for small and mid-sized businesses.
Kallo's initial reaction is positive: "TSLA’s new financing product should drive demand for TSLA’s Model S and Model X vehicles while allowing the company to make a return on its invested capital. Additionally, the option of introducing asset-backed securities in the future could provide TSLA with another source of low cost capital. Securitization would also allow TSLA to receive upfront cash for its leases which could be deployed for the construction of the Gigafactory or for the production ramp of the Gen III vehicle."
Shares of Tesla Motors closed at $207.52 yesterday.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Tesla (TSLA) Gigafactory to be Inaugurated on July 29th
- Stocks with call strike movement; NFLX YHOO BABA TSLA
- Ulta Salon (ULTA): ECommerce Could Add Another Leg Of Growth - Nomura
Create E-mail Alert Related CategoriesAnalyst Comments
Related EntitiesRobert W Baird, Tesla
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!