Will Tesla Motors Surge Higher After Recent News?

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With shares of Tesla Motors (NASDAQ:TSLA) trading around $254, is TSLA an OUTPERFORM, WAIT AND SEE, or STAY AWAY? Let’s analyze the stock with the relevant sections of our CHEAT SHEET investing framework:

T = Trends for a Stock’s Movement

Tesla Motors designs, develops, manufactures, and sells electric vehicles and electric vehicle powertrain components. The company also provides services for the development of electric powertrain systems and components, and sells electric powertrain components to other automotive manufacturers. It markets and sells its vehicles through Tesla stores as well as over the Internet. Consumers and companies are looking to save at the pump, and what better way to do so than with electric vehicles?

Tesla Motors, which plans to build the world’s largest battery factory, said it will open more than 30 new service centers and stores in Europe as it anticipates a jump in sales in that region and Asia. Tesla expects combined sales this year in Europe and Asia to be almost twice those in North America, according to a statement today from the Geneva auto show. The company said it will introduce right-hand-drive versions of its Model S sedan in the UK and offer leasing and financing programs in Europe. The electric-car maker has forecast a more than 55 percent jump in global sales in 2014 and announced plans to spend as much as $5 billion to build a so-called gigafactory in the U.S. The facility would let the company create cheaper versions of its cars, potentially doubling its worldwide market share to about 1 percent, Adam Jonas, a Morgan Stanley (NYSE:MS) analyst, said. Tesla delivered almost 22,500 vehicles last year.

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