NEW YORK (TheStreet) -- Shares of Tesla Motors (TSLA) rose 1.91% to $282.70 in afternoon trading Monday after CEO Elon Musk told The Nikkei he envisions a partially self-driving car from Tesla in approximately three years.
Musk said Tesla would develop the driving system for the car via sensors and components from other suppliers. He added all Tesla cars would have an auto-drive feature at some point in the future.
Musk also said Monday the electric automaker could sign a new deal with Toyota (TM) in the next two to three years. The two companies have an existing agreement in which Tesla supplies batteries and motors to Toyota for its RAV4 electric SUVs, which went on sale in 2012. But that agreement ends this year after just 2,000 sales of the vehicle.
But that fact did not dissuade Musk from predicting a new deal in a few years. "If you look at maybe two or three years from now, I would not be surprised if there is a significant deal with Toyota and Tesla," the CEO said during a press conference in Tokyo.
Separately, TheStreet Ratings team rates TESLA MOTORS INC as a "hold" with a ratings score of C-. TheStreet Ratings Team has this to say about their recommendation:
"We rate TESLA MOTORS INC (TSLA) a HOLD. The primary factors that have impacted our rating are mixed - some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its robust revenue growth, solid stock price performance and good cash flow from operations. However, as a counter to these strengths, we also find weaknesses including unimpressive growth in net income, poor profit margins and generally higher debt management risk."