Tesla Motors Inc (TSLA) Gets Big Boost From Consumer Reports

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I like Elon Musk, he reminds me of Tony Stark aka Iron Man (1,2, or 3). While he doesn’t possess the acting chops of Robert Downey Jr. or Pepper Potts, he does have both an electric car company and a space program. Despite suggestions to the contrary in an infamous review of the Tesla Motors Inc (NASDAQ:TSLA) Model S in the New York Times, Consumer Reports has just deemed the Model S worthy of a 99 out of 100 ranking, making it the best car they have reviewed since 2007 when they bought and drove the Lexus LS 460L.

Tesla Motors Inc (TSLA) Gets Big Boost From Consumer Reports

The Lexus LS 406L is, of course, not an electric car like the Model S and the leaked rankings make the Tesla Model S the best performing electric car by a large margin. In fact, the Model S outperformed every other car in its class by leaps and bounds. While the Tesla S has received a number of rave reviews including Motor Trend’s Car of the Year, Consumer Reports is the big review on the block, owning to its objectivity and inability to be swayed by the automaker. Typically, Consumer Reports purchases the cars it drives at retail from a dealer rather than accepting a test model from the car’s manufacturer. Not only has Consumer Reports not been accused of impropriety but goes out of its way to avoid the appearance of impropriety.

“The Tesla Motors Inc (NASDAQ:TSLA) Model S is packed with technological innovation,” said Jake Fisher, director of Automotive Testing for Consumer Reports, in a statement. “It accelerates, handles and brakes like a sports car, it has the ride and quietness of a luxury car and is far more energy efficient than the best hybrid cars.”

This glowing review came just a day after Tesla Motors Inc (NASDAQ:TSLA) noted in its letter to shareholders that it was in the black for the first time in the  company’s 10-year history.

Revenue was reported as $562 million, up 83% from the period a year ago. Under GAAP reporting rules, excluding a one-time gain, earnings per share were 0 cents, the company said. Tesla also raised its forecast from 20,000 to about 21,000 deliveries of the Model S.

Tesla Consumer Reports Highlights

The full-write up from Consumer Reports will be published in its July issue though they did release a few highlights:

  • Acceleration. The Model S leaps from 0 to 60 miles per hour in a 5.6 seconds, on par with top sports cars. Yet it is the quietest car that the magazine has tested since the Lexus.
  • Handling. Consumer Reports’ engineers compared its “pinpoint handling” to a Porsche.
  • Interior. The “beautifully-crafted interior calls to mind an Audi.”
  • Practicality. The test car’s ability to go 200 miles on a single charge gave it a level of practicality not seen in other electric cars, which are typically limited to 75 or 80 miles a charge.
  • Thrift. The test car achieved the equivalent of 84 miles a gallon of gas. At $9 in electricity for a full charge, it is like buying gas at $1.20 a gallon.

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