NEW YORK (TheStreet) -- While many think Tesla (TSLA) - Get Report is completely overvalued, the introduction of the new i3 electric car from BMW won't be a factor, TheStreet's Jim Cramer told Debra Borchardt on Monday.

Some have been quick to say the new BMW will be the "Tesla killer," but it's not only premature to draw those types of conclusions, it's also a little far-fetched, Cramer opined.

Cramer said Tesla is a "cult stock," meaning it's very difficult to figure out what moves the price higher. Along with the company's Model S holding the highest rating for a car by

Consumer Reports

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, the prestige the vehicle carries is also evident.

Not only is a Model S considered more prestigious, but it also gets more miles per battery charge than the i3's current 100 miles. People have been calling it an urban car, Cramer said, but pointed out that there's not a whole lot of urban charging stations in the United States.

He also noted that Tesla is sold out of the current model and is having trouble meeting demand. On the contrary, just about anyone can get a BMW, again aiding in the prestigious Tesla argument.

However, Cramer concluded that there was certainly enough room for both cars on the road, and while the i3 does present competition to the Model S, it would not put an end to Tesla.

-- Written by Bret Kenwell in Petoskey, Mich.

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Bret Kenwell currently writes, blogs and also contributes to Robert Weinstein's Weekly Options Newsletter. Focuses on short-to-intermediate-term trading opportunities that can be exposed via options. He prefers to use debit trades on momentum setups and credit trades on support/resistance setups. He also focuses on building long-term wealth by searching for consistent, quality dividend paying companies and long-term growth companies. He considers himself the surfer, not the wave, in relation to the market and himself. He has no allegiance to either the bull side or the bear side.