Few Can Compete With Tesla (TSLA) - Piper Jaffray

Piper Jaffray maintained an Overweight rating and $386 price target on Tesla Motors (NASDAQ: TSLA).

Analyst Alex Potter met with a China EV trade group and left with the realization that few companies can compete with TSLA. The analyst comments that the company has little to fear from Chinese company's at this moment given the current competitive landscape. Potter comments "we think the industry-wide sales mix will only shift permanently when consumers are willing to buy EVs based on their own merits, and in this context, pragmatic considerations like range and cost are only ONE PART of the discussion" with the other part being branding/performance which TSLA is one of the best at.

Potter also shares a belief that TSLA is the only EV company capable of competing without policy support and comments "It's true that more capable competitors will enter the fray in the coming years - and time will tell if their EVs can inspire consumer demand - but with Tesla, we think this is a non-issue."

FY 2017 EPS estimate falls to ($6.21) from ($6.19) and FY 2018 EPS estimate remains at $0.68.

For an analyst ratings summary and ratings history on Tesla Motors click here. For more ratings news on Tesla Motors click here.

Shares of Tesla Motors closed at $350.60 yesterday.

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