Tesla Motors (TSLA) Q1 Deliveries Not Impressive, Says Analyst

BofA/Merrill Lynch maintained an Underperform rating on Tesla Motors (NASDAQ: TSLA) with a price target of $65. Over the weekend Tesla said it delivered 10,030 cars in Q1 of 2015 -- a new company record for the most deliveries in a quarter.

Analyst John Lovallo II said the news was not that impressive, as it represents sequential growth of only 2%, is largely expected, and has negative implications for earning and cash flow. In his view results leave a "tremendous amount of wood to chop" for Tesla to reach its FY15 target of 55K.

Lovallo also pointed out that Tesla is unable to offset the declining Euro and is selling vehicles in Europe at prices that on average are about $6,700 below comparable U.S. prices.

For an analyst ratings summary and ratings history on Tesla Motors click here. For more ratings news on Tesla Motors click here.

Shares of Tesla Motors closed at $191.00 yesterday.

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