Tesla's (TSLA) Model X May Price in Mid-$50K Range

Tesla (Nasdaq: TSLA) is planning to release its Model X SUV sometime in 2015 with prototypes starting to be build in the latter-part of 2014. While plenty of pre-orders for the crossover utility vehicle (CUV) have been placed, pricing speculation hasn't been firm.

Until now. PCMag.com said earlier this week that Tesla's crossover utility vehicle (CUV) will start at $55,000. That compares with a starting price of $62,000 or so for the Model S sedan.

This could be a game-changer for Tesla, possibly even more so than the Model S. While its expected that accessories will drive the price of the Model X up, a base in the mid-$50,000 range would put it on level playing ground with the likes of GM (NYSE: GM) and Ford (NYSE: F), among others, in the key SUV segment.

The Model X will be built on the same platform used by the Model S, but will have three rows of seating, distinctive falcon-wing doors in the rear, and a dual-motor all wheel drive system. The CUV will weight about 10 percent more than the Model S.

Given the above facts, it's highly-unlikely that Tesla will be able to price the Model X below the Model S, unless the company adjusts its profitability/margin goals.

Shares of Tesla are indicated higher early Wednesday.

You May Also Be Interested In

• Tesla (TSLA) US Marketing Team Eliminated In Layoffs: People Familiar - Bloomberg
• Tesla (TSLA) option implied volatility as share price down 1%
• Wolfspeed pops as activist investor urges firm to consider options, including sale