Tesla Motors, Inc. (TSLA – Analyst Report) is actively undertaking international expansion to boost sales. After entering the European and Chinese market, the company has now started taking orders for Model S and Model X in Japan, according to autoevolution.
While Model X is not in the market yet, Tesla has started taking reservations for the crossover vehicle in Japan for a deposit of $5,000. The reservation of the Signature edition of Model X can also be done for a significantly higher amount of $40,000. Tesla Model X is scheduled to hit the market in 2014.
Meanwhile, Model S can be booked in Japan with a deposit of $2,500. The sedan is currently on display at the 2013 Tokyo Motor Show. Tesla is the sole American car manufacturer participating in the motor show. The electric carmaker expects Japan to become its second largest market over time.
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In August this year, Tesla started the reservation of Model S in China. Deliveries to China should begin next year. The company started the delivery of Model S in Europe in the same month.
Moreover, Tesla launched a new assembly and distribution center for Model S in the Netherlands in Aug 2013, which will allow the automaker to transport parts anywhere in Europe within 12 hours. Tesla’s operations in Europe will expand further with the opening of 15 stores and service centers in the next few months.
Tesla anticipates delivering a little less than 6,000 Model S vehicles in the fourth quarter of 2013 and 21,500 vehicles globally in 2013. The automaker expects Model S sales to cross 40,000 by 2014, assuming the demand in Asia and Europe meet expectations.
Tesla currently retains a Zacks Rank #3 (Hold). Other major automobile stocks worth considering are Daimler AG (DDAIF), Honda Motor Co., Ltd. (HMC – Analyst Report) and Ford Motor Co. (F – Analyst Report). While Ford carries a Zacks Rank #1 (Strong Buy), Honda and Daimler are Zacks Rank #2 (Buy) stocks.