NEW YORK (TheStreet) --Tesla (TSLA) - Get ReportCEO Elon Musk unveiled new solar roofing shingles Friday night at Universal Studios in Los Angeles. The shingles are manufactured by Tesla and are being introduced as Tesla is in the midst of combining with SolarCity (SCTY). Musk believes these shingles, coupled with the upcoming merger, are a part of an energy efficiency equation.
The equation would combine the energy harnessed from the roof shingles and then use it to power homes as well as Tesla's electric vehicles.
"It consists of a really appealing solar roof, then combine that with storage and with electric cars, it's an obvious three-part solution. We want it to look better, last longer, provide better insulation and costs less all things considered than a conventional roof" CEO Elon Musk said Friday night.
"They believe that these solar shingles as opposed to the panels that we've all seen on houses all over the place have 98% of the ray-collecting power of standard panels," CNBC's Phil LeBeau noted during this morning's "Squawk Box."
Additionally, the shingles are more durable than conventional roofing shingles, lasting on average two-three times longer.
The cost of these shingles, however, remains a question. "It depends on the size of the home, other variables such as incentives, tax rebates, etc.," LeBeau noted.
The merger vote for the Tesla-SolarCity deal will take place November 17.
Shares of Tesla were higher in early morning trading on Monday.
Separately, TheStreet Ratings team rates the stock as a "sell" with a ratings score of D+.
Tesla's weaknesses include its deteriorating net income, generally disappointing historical performance in the stock itself and feeble growth in its earnings per share.
You can view the full analysis from the report here: TSLA
TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this article's author.