Price Target: $406
Rating: Market Ouperform
"Tesla has come up with a novel approach to hitting its long-anticipated $35,000 price point for its Model 3, which consists of largely shutting down its sales network," JMP analyst Joseph Osaha said.
"That, combined with offering a variant of the Model 3 that appears to be quite stripped down, moves the inexpensive Model 3 solidly into the mass-market segment of the auto business."
Osaha says the $35,000 sedan stacks up "quite nicely" against the competition, but that switching to an online sales model will lead to the automaker "surrending some of its customers."