Chrysler US Sales Up In May, Tesla Motors’ Numbers Worth Watching

Updated on

Chrysler Group LLC announced Monday that its US sales for May are up 11 percent helped by impressive performance of Ram pickups.

Chrysler US Sales Up In May, Tesla Motors' Numbers Worth Watching

Chrysler’s Vehicle Deliveries

The US automaker told that the sales for Fiat SpA (BIT:F) (PINK:FIATY) increased to 166,596 cars and light trucks compared to 150,041 a year earlier. The third-largest U.S. automaker beat the sales forecasts of 13 analysts’ estimates in a Bloomberg survey. For Ram pickups, deliveries were up 22 percent to 31,672, and for Jeep Grand Cherokee SUV it was 21 percent to 16,034.

Including the gains in May, the Michigan-based automaker has been able to increase its sales for 38 consecutive months backed by Chief Executive Officer Sergio Marchionne efforts to bring in new and redesigned Ram trucks, Jeep sport-utility vehicles and new cars such as the Dodge Dart.

According to data from Autodata Corp, Ram models showed an impressive performance in the full-size pickup market that increased by 20 percent this year till April. The expansion in the full-size pickup market is almost three times that of all U.S. light vehicles.

Chrysler expects a 15.5 million industry sales pace for May. The forecasts include medium- and heavy-duty vehicles, which on an average report a minimum of 200,000 deliveries per year. For May, Ford Motor Company (NYSE:F) is expected to lead the U.S.-based automakers with 11 percent increase in sales, according to analysts. Ford has been able to gain the most U.S. market share this year.

Analyst upbeat

 The sales and markets are expected to rise further as analysts are upbeat on the coming time. For May, U.S. light-vehicle sales may have increased by 7.1 percent to 1.43 million, which is the average of the 10 analysts surveyed by Bloomberg. The adjusted annualized industry sales rate is expected to increase to 15.2 million. If the numbers hold true, then the industry may be up for its best year since 2007.

Hyundai Motor Co (KRX:005380) and Kia Motors Corporation (KRX:000270) are witnessing a slow-down in sales. Volkswagen AG (ETR:VOW) is expected to report a 7.7 percent rise in sales for its Volkswagen and Audi brands in May. Nissan Motor Co., Ltd. (OTCMKTS:NSANY) (TYO:7201) is forecasted to post a 22 percent rise in US sales. For Honda Motor Co Ltd (NYSE:HMC) and Toyota Motor Corporation (NYSE:TM) (TYO:7203) sales are expected to have risen by .7 percent and 3 percent in May.

Tesla, worth watching

Apart from these giants, one more automaker whose numbers will be worth watching is Tesla Motors Inc (NASDAQ:TSLA). The electric car company sold about 5,000 Model S during the first three months of the year. For the full year, the company expects to deliver 21,000 Model S cars worldwide up from its earlier target of 20,000. However, the billionaire Elon Musk feels that eventually the demand for its Model S may exceed 30,000 vehicles a year.

Leave a Comment