NEW YORK (TheStreet) -- Tesla Motors (TSLA) may have trouble meeting its full year vehicle delivery guidance this year and next without a strong surge in the Asian market, according to analysts at Barclays (BCS) .
"We believe Tesla faces a challenge in reaching implied 4Q delivery guidance of ~13k. Even assuming a ramp of deliveries in NA and some growth in Europe, meeting 4Q guidance likely requires Asia deliveries of 5,700-6,300 units (vs. est. 3Q deliveries of 2,000-2,200). The required uptick in Asia reaffirms our view that Tesla's growth this year and early next year (pre-Model X) is dependent on the uptake of deliveries in Asia, primarily China," said the firm.
Tesla shares are up 1% to $262.31 on Wednesday.
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."