Tesla Motors Inc (NASDAQ:TSLA) – Are Sales Really Going Down?

One of the most progressive stocks in the market and in the U.S. industry specifically is Tesla Motors Inc (NASDAQ:TSLA), the electric car producer. Perhaps this is the reason why everyone was surprised when John Stoll and Mike Ramsey, researchers at The Wall Street Journal, reported that the company has recently seen a huge decline in the sales of one its models.

It is important to note here that the company has had a huge waiting list for its cars. According to a sales representative of Tesla Motors Inc (NASDAQ:TSLA), the company has decided to keep its cars in the American market until December, 2014. The anticipated reason, according to a data calculation company, is that the company has been facing declining sales in its home market.

Reports have it that the company sold around 10,335 units of its Sedans, Model S, in its home market for the year 2014; the numbers are down by 26 percent when compared with the figures of the same time period a year back. This decline is astonishing, for the company’s production in its home market has been increased by 10 percent during the same time period when its sales declined.

Although the company has not disclosed its sale figures, it has made statements that show that the company expects almost 50 percent of its sales to be in the foreign market. Tesla had a goal to sell around 35,000 cars during the year 2014; in order to meet its target, the company still needs to go a long way, for if it keeps its current pace, chances are that it will miss the target by a huge gap. Tesla will have to double its sale pace if it wants to stay on track.

The company, however, has back-ordered many of its cars, which could suggest that Tesla is on track with its goals and sales figures. This iteration was supported by the CEO of the company, Elon Musk, during the second quarter earnings’ call of the company. Elon Musk, during 2Q meeting, mentioned a run-rate of almost 0.1 million units for the year 2015.

The CEO of the company is reported to have tweeted with the statement that WSJ is incorrect on its facts and conclusion about Tesla.

Tesla Motors Inc (NASDAQ:TSLA), in July 2014, disclosed that it would be closing down its Model S production for a while and would focus on its Model X. There is much anticipation going on in the market about Tesla’s production and sales figures; however, a certain statement can only be made after November 5, 2014, when Tesla releases its third quarter’s financial reports.

Coming to the stock prices of the company, Tesla Motors Inc (NASDAQ:TSLA), on the last trading day, October 28, 2014, started its stocks at a price of $229.60 and closed at a much higher price of $224.77, after hitting the highest figures of $244.60. The company has a market capitalization of $27.63 billion