Tesla and Southern Co. join hands to work on the testing of electric batteries.
Tesla Motors Inc. grants permission to Southern Co. the Atlanta-based electric firm to govern tests on their utility scale battery division, dubbed as Powerpack. Thomas A. Fanning, the chairman, President and chief executive officer announced about the collaboration between the two firms during the company’s stockholders annual meeting.
"At the foundation of Southern Company is our ability to develop real, innovative solutions to shape America's energy future," stated Mr. Fanning in the press release of the firm. The Southern Co. at this point of time wants to make its inventive culture relatively strong by establishing new partnerships that will allow them to strengthen their portfolio. According to him, if the company involves in such practices then it will help them to cater to the evolving energy needs of consumers.
Under this collaboration it has been agreed between Tesla Motors- the electric car giant and Southern Co will work towards exploring the possible implication of TSLA Electric batteries to cater to the electric needs of consumers along with efforts to minimize the hazardous implications of carbon emissions.
The company so far has created the right amount of anticipation that will assist them in luring customers towards their battery products. Only in its debut week, Tesla has been successful in gaining 3,800 preorders and 2500 reservations for Powerpack. So by the mid of next year, this continues to happen on the same pace than the company will be soon sold out for its battery products considering the production capacity of the company at this time.
According to the data compiled by Bloomberg, these preorders almost worth around $800 million for the firm. So if customers do not back off then the company will have a stable flow of revenues eventually.
According to several economists, the batteries manufactured by Tesla will be providing solutions to the climatic changes, allowing individuals to go completely out of the grid in the times to come. The aim of Elon Musk- the chief executive officer of the firm is to make energy efficient and cheaper for the masses. These batteries can be helpful in saving the energy that is obtained from green sources such as solar and wind power and ensure a steady energy supply since the energy that is obtained from other sources has several fluctuations.
Hence, in a nutshell, Tesla Motors and Southern Co. are in the right direction because electric batteries are the need of time. If Tesla lures so many orders for Powerpack then their future will be relatively stable.
It could secure top spot in the midsize truck market, only if the Japanese automaker plays its cards right.
Toyota Motor Corp (NYSE:TM) has sounded confident that its 2016 Toyota Tacoma 2016 model, set to be released early next year, will help it to propel in the top spot in the mid-sized truck market. That is great if the company is aware of the methods to play its card right. In today’s fast changing 'globalized' world, nothing is certain – especially when the Japanese automaker has many roadblocks ahead.First, starting with the ‘wow factors’ of the truck, its low drag has made it possible for the vehicle to drive down on the road as smooth as possible, for which credit is rightly given to the company’s engineers, who have certainly made it possible. According to reports, it has the lowest drag coefficient in the entire market segment, which is quite an achievement for Toyota itself, since that translates into improved fuel efficiency.A good deal of attention has been paid towards the ideal approach and departure angles, in which the break over angle is currently attached at 29 degrees and spread 21/31 between the front and the back.Another noticeable aspect is the redesigning of the company’s truck bumper, but Toyota had come up with a very good explanation for that, which makes sense too. New regulations will spring up in the coming few months regarding the safety of pedestrians, which required a radical change in the design of the bumper vehicle and 2016 Tacoma responds to those issues.As mentioned previously, the truck has a high fuel efficiency standards that will help the product ‘penetrate’ into the market, even though there is no final word out from the EPA to lend credence to those claims, making it difficult to know if it will be a market leader for it.The truck engine will be powered by the V6 design, which is not available in any of Toyota’s other models, such as the Lexus, and from the looks of it, it seems to have the potential to take shot past the Chevy Colorado or GMC Canyon for its fuel performance, but it is too early to tell.In addition to the high-powered engine, other internal features of the truck include two types of transmissions, a six-speed automatic gearbox, and a six-speed manual option. Speed manual is preferred because that is where there is more control of the speed of the car to check for fuel consumption for the environment conscious people, but automatic speed should not be ruled out either.More surprises could be in store when the car will be officially launched, so it will not be surprising what else comes out of this 2016 model truck. Toyota’s stock price ended the day at $137.70, down 0.40% from the previous day.
The automakers have successfully topped the list of companies making the most sales in the first fiscal quarter of 2015.
In the most recent Toyota news, it has been seen as a pleasant surprise that the first has managed to get the first position to make the largest sales in the first quarter of the financial year 2015. The total cars that the firm has sold have come around 2.52 million, as per a report submitted by AFP Tokyo. This number has come about to be a massive one considering the kind of sales that the firm has made and it has turned out to be quite a success for the Japanese auto giants. Keeping in the mind the fact that the company on an overall basis witnessed a dip in the demand on the local level, this number of sales carried out has been no doubt commendable.In the report presented by AFP, it has been observed that Toyota cars managed to not only beat German Volkswagen in the process of topping the list, but it also left behind GM Company which is an American firm. The Japanese automakers have made successful sales by being ahead not by a small margin but by a huge difference as Volkswagen has come next to the firm with its sales coming around at 2.49 million. As for General Motors, the firm only managed to sell around 2.4 million cars, securing the third position in making the most sales in the first fiscal quarter of the year.If the past performance of TM sales is taken into consideration, it will be seen that the demand on a general level has seen a decline which is why the sales fell around 2.5% in the quarter as compared to the sales made in the previous one. For the full financial year of 2015, the expected sales are expected to be made around 10.23 million. The sales might be decreasing for the year and the reason given by analysts is that it shows that the Japanese giant is taking all the queries into consideration which arose after the customers faced some safety issues in the cars that they bought from the company.The first time Toyota Company managed to beat all the other companies on the globe, like General Motors and other auto giants, was in 2008 when the first managed to top the list. Due to the natural calamities that hit Japan after that, the firm stumbled and took some time to get back in a position again. However this time around, the firm has shown that it has nothing to fear and a lot to do in the upcoming year, keeping in mind the amazing sales made in the start of 2015.
The automakers are all set to introduce an exciting mobile shop in the state for customers to choose and buy Tesla cars with ease.
Tesla Motors is one of those few companies who has been in the news for quite some time for the unique and tactful techniques that it chooses to carry out for its business activities. The marketing strategies adopted by the automakers have always been highlighted to be one of their kind and quite smart as well. The firm has always surprised its fans by always coming up with something to amuse and this time around, the electric car makers have decided to make it big by planning a campaign through which they will be directly selling their automobiles to the customers. A recent press release has made it evident that the auto giant’s management has announced that the company will be taking its adopted marketing campaign for something useful like being a direct provider of its cars and selling them on a direct basis without a middle man.The first place that has been chosen by Tesla to start selling its hybrid cars has come around to be Santa Barbara, where the company’s first outlet will be made for its valued customers who will be able to visit the place and choose from their favorite cars. The grand opening of the store has been scheduled to take place a day after the Memorial Day, and the store will be quite like the other brick stores owned by the company. The customers who wish to make a transaction will be first taken around the store for a quick tour in which they will be made familiar with what the store has to offer. Later, they can choose accordingly if they like the different parts and components of the Model S. Furthermore, for a better experience, a new Model S will be made available at the store in which the users can take a test drive and get to know the car better.This store will be a mobile store with the ability to spread out like a huge flatbed, as huge as a terminal. According to the most recent reports, the firm is planning to keep their mobile store in the state of Santa Barbara for four weeks before taking it to Hamptons.Coming up with such a store in the United States is an idea not foreign for Tesla as the smart car makers have done the same in the European countries like Denmark and France, around two years back. More importantly, the electric car giants are not the only ones to have a mobile store in the country as many other auto makers have done it in the past.
Fords Motors has recently reported a massive growth in the short interest shares of the company as recorded in the last week of April, 2015. Taking in the consideration the short interest shares of the firm as on the records on April 30 2015, a trade with around 86,671,085 shares was witnessed that showed a significant growth as compared the short interest shares noted down by analysts on April 15, when the trade showed shares at around 80,232,745.
According to a report by American Banking News, around 2.2 percent of the short interest shares from the stock of the car models company have been sold. The average volume of shares, on the other hand, has been recorded to be 28,665,668 while the days to cover ratio has been noted down by the stock index at 3 days.
On the other hand, it was recently seen that Ford Motors’ director, John C. Lichleiter has carried out a huge transaction inside the firm in which he was seen buying around 3,000 shares, increasing his stake in the company by a huge difference. This transaction was done on May, 14 2014 and each share was sold at a price of $15.22.
The whole transaction was recorded to have cost Lichleiter an amount of $45,660.00. This trade of shares between the company and the director of the auto making firm has been recorded in filing by the Securities Exchange Commission as all the trade information of shareholders and investors who have a stake in the company of more than 10% are to report to the SEC if they go through any kind of transaction or trade of their shares.
Quite a lot of analytical firms have covered the Fords stock and granted the firm different ratings in accordance with their analysis. Sterne Agee CRT has analysts that gave the auto company’s stock a ‘buy’ rating along with a target on the share price recorded at $20.00, mentioned in a research report presented on May 3 2015. As for the analysts at Stifel Nicolaus, a ‘hold’ rating has been suggested for the shares of the firm after close inspection. The same analysts have granted a $19.00 price target to the smart car company in the same research analysis. TheStreet analysts have given a ‘buy’ rating to the classic car producers. Moreover, Goldman Sachs has given a ‘hold’ to shares of Fords.
Fords Motors Company was recently seen to announce its quarter earnings on April 28 in which the firm reported EPS that was lower than expectations, coming around at $0.23.
Tesla has several futuristic plans that require cash, however, their current finances are not so satisfactory to make it all happen.
Tesla Motors Inc. is one of the most promising electric car makers that are disrupting the automotive industry at a relatively great pace. The company at this point of time is increasing the number of a project which is relatively more expensive that what it was doing earlier. The company wishes to reign in the electric vehicle industry along with the energy storage but for that they need a stable stream of revenues.The problem which several analyst and skeptics are dealing with at the moment is that will Tesla be successful in breathing life to its dreams or be stuck due to limitations in funding. The company currently has a single electric car that is responsible to help them sail swiftly. According to a consensus, the company currently sales for a quarter across the globe are similar to one-day sales of General Motors Company in the United States.So the question is where is Tesla spending all the hard earned money?Tesla apart from coming up with a new SUV the previous year is also reportedly working towards unveiling “ high volume mass market electric car” which it will call Model 3 in FY17. So in order to have a Model 3 that is relatively cheaper, the company has decided to minimize costs of its batteries that will hinge the launch of the much anticipated Gigafactory plant in Nevada for storage batteries.Apart from this the company seeks to expand its footprints in regions where it is not currently available, therefore, the company is working towards launching Model S in several international markets. For the same reason, the company is spending vast amounts of money to establish the necessary infrastructure required by the company for their electric cars. This includes servicer stations, supercharger networks etc.This year the company has also vowed to pledge $1.5 billion in capital expenditure (CAPEX) almost 25 per cent of this budget was carry forward by Ford Motor Company- the second largest automotive firm that generates 200 times more money in terms of revenues when compared to Tesla Motors.At this point, Tesla has made a vigorous investment in several “growth catalyst” at a time where they are already struggling with finances. This has brought negative criticism for them from several investors and analyst at Wall Street.Hence, in a nutshell, Tesla needs to figure out what it really wants to do in the years to come. The company has extremely futuristic plans, but these plans require money for implementation which the company currently lacks.
The auto making company has many plans lined up for the upcoming quarters in which the launch of Model X car and Gigafactory has gone to take place.
In the most recent quarterly report announcement, Tesla Motors was seen to discuss quite a lot of plans for the coming quarters that the firm is looking forward to carrying out. These plans are deemed to be quite important for the company’s performance, as it will determine where and how the firm is headed forward.
The automakers are looking forward for plans such as the launch of the Model X car that is expected to launch in a few months along with the battery making business that the firm has only recently announced to step into. The Gigafactory, which is being established for the purpose of manufacturing batteries for cars as well as home based usage, is in the process of being launched too.
The Model X car, which is the first electric sports utility car that Tesla (TSLA) is currently working on is almost ready for orders and Elon Musk, the CEO of the smart car making firm, expects the customers to be able to place an order for their Model X Cars by July.
However, the electric car will actually be made available in September of the current year when the deliveries will be taking pace. The CEO of the auto making firm has previously been positive about this new venture of his company in the form of the sports car that is to launch soon and he still seems to be quite excited about it. According to him, this sports vehicle is going to prove as a great car in the SUV industry.
As for the Gigafactory that is being worked upon by Tesla, this other venture of the auto giants is to bring about a huge change in the way things are done in the firm. The battery making plant is expected to produce lithium-ion batteries in a massive number, so much as to break all the records of production in the past years. As per the initial plans of the company regarding the launch of the actual battery cell, it was decided that the first cell will be introduced to the industry in 2017.
However, the hybrid car makers have decided to speed up the process as the management mentioned in the earnings call recently made that now the first battery cell will be launched in 2016, one year before.
On the other hand, the demand for the Model S cars has been constantly increasing as discussed by Elon Musk in the earnings call. Tesla is now looking towards selling around 55,000 Model S and Model X cars by the end of the current quarter.
The auto-making firm is planning to make an update on its software of the Model S cars, which analysts believe is for some autonomous features to be added to the vehicle.
The rumors regarding Tesla Motors planning to work on an autonomous car have been circulating in the air for quite some time. The electric car makers have been treating its fans with the idea of making its luxury cars into cars that are self-driven automobiles which have excited the audience to no end. Even though the rumors have been going on about the auto industry for quite some time now, it had not been made clear yet as to when the firm plans to actually launch those special cars.According to the most recent news on the hybrid car making company, it has been made public that in it will be going through a software update on its systems soon which will not only make the firm capable of bringing its first autonomous car on the road in a time period of only two months, but it will also open the gateway for more software updates to take place in the auto-making company’s system in the coming time.As per the latest press release, it has also been made evident that Tesla’s Model S car will be receiving more updates in its software which will be making it become a better self-driven car in the coming times. For customers who are in possession of Model S cars, this has come out to be quite an exciting news as their cars will also be made into cars which carry the updated software bring about some features that will make them autonomous to some extent. Keeping in mind the fact that all the Model S cars, released since the month of October, have been made in such a way that their software system can be updated with features that support an autonomous system of driving a car, all the customers who bought their Tesla cars after that time will be able to enjoy the updates on their luxury vehicles soon.The hardware system that has been installed by Tesla into its Model S cars includes special features like an updated steering plan and an improved braking system, along with a camera that faces the front side of the car. With radar for the front face of the automobile and ultrasonic sonar with a 360-degree scale, the updates on these will turn out to be very happening.In the latest press conference that was held by Tesla’s management, the fact that a software update is going to take place soon has given a hint to the investors and analysts that this update will involve features with some autonomous characteristics.
The Japanese automaker has decided to call back around 5 million cars to fix the issue of having faulty air bags.
Toyota Motors has reported it will be recalling cars from all over the world to fix the problem of having air bags that are not up to the mark and have faults. Along with it, Nissan Motors and Honda Motors will also be following suit.According to a news report by Bloomberg, it was seen that around 6 million cars in total are being requested by the respective companies for the purposes of solving issues in them that have long been prevailing. The major reason for the Japanese firm to be recalling its cars from all over the globe is the emerging problem of faulty airbags that have suddenly surfaced.As per available records, Toyota (TM) Company has decided to call back around 5 million cars which include various models produced and manufactured by the firm. Among all the cars being called back to the firm, 35 models are the ones that were released by the Japanese firm between the time period of March 2003 and November 2007. The company has released a report in which it has raised concerns over the unusual activity of the airbags that has been seen to deploy at random moments, many times when it was not even needed. This going off of the air bag on the precise moment when the vehicle was hit by another car was taken into consideration by the auto making firm to realize that something was definitely seen to be wrong with them.According to recent Toyota news, it became evident that the firm will be calling back its cars in the start of June 2015 by first informing the customers. The total Japanese cars to be recalled by the firm have come around at 1.56 million, as reported by a spokesperson of the Japan-based company. This step that is being taken by the auto giants is due to the safety campaign that has gained momentum recently. As a result of this campaign, around ten other auto making companies in the industry have been calling back cars to fix the issue since 2008.According to a Japanese analyst Takeshi Miyao, it has been noted that this problem has suddenly surfaced and is now being looked into by Toyota and Nissan as before both the companies were unaware of such a problem taking place in the air bags that they were placing in their cars. Takata Corp, who is responsible for providing the automakers these airbags have also been not aware of the fault in the bags they were providing.
Tesla has found a way to make autonomous cars.
A question that has been popping around since the popularity of autonomous cars is the autopilot feature. So in case an accident occurs, who is supposed to be blamed, the driver or the manufacturer? Tesla Motors Inc. has finally found a solution to this problem where the electric car manufacturer “will allow drivers to use a turn signal to activate the autopilot feature.”In accordance with the publication, report individuals close to the company that the automaker will now have its sedans equipped with a semi-autonomous feature. This will allow the cars to pass easily on the roads without the need of a driver. When the turn signal stalk is hit, it will allow the one driving to get control over the vehicle and tale permission to switch on the autonomous driving feature in Tesla cars.This is the right way to make the car without the need to have the driver intervene much during the procedure. Moreover, the driver can enjoy full control on the car he’s driving. The turn signal is a major breakthrough which will allow the company to solve one of the biggest issues with Tesla vehicles which is the concern and the chances to face a car accident.According to the Wall Street Journal, this is a major breakthrough for car manufacturers, insurance providers and regulators in order to devise a conclusion about who would be responsible in case any problem occurs. So now drivers have the liberty to enable and disable the autopilot feature by just flicking on a shaft making sure that now the person who is driving will be responsible in case any issue arises.Mr. Elon Musk, the chief executive officer of Tesla (TSLA) Considers is to be a massive breakthrough where he expects the autonomous cars to take up conventional human driving in the coming 20 years.The company is in collaboration with regulators and authorities in United States to devise ways to make this futuristic technology possible in the times to come. Wall Street Journal reports “The vehicles that need fewer human controls in the drive are considered to be class-3 autonomous vehicles, and several states have special registrations for these smart vehicles.”As estimated Tesla autonomous are likely to get a bit delayed and will not make their way to the masses in summers. The company if it can come up with something so above the mark then these delays do not really matter because the end result is expected to be outstanding.
The auto making company has successfully received permission from the government of Maryland to make direct sales of its luxury cars in the state.
Tesla Motors is in the news again and this time, it is all for the right reasons. According to the most recent news update, it was seen that the auto giants received the much-awaited permission from the authorities to start the procedure of directly carrying out sales from Maryland, something that the firm has long been trying to get approved.
The electric car makers have been facing trouble from the other rivals in the industry which is why this process got delayed. Despite all the difficulties faced, the giants have finally managed to obtain something that should be reckoned with. Following the news, the hybrid car makers are now in a position to supply its luxury cars from the state of Maryland. This process is expected to start in October by the automakers.
Since the success news, Tesla stock went right upwards on the stock index reaching a share price of $245.10 as per the latest data available. The delays in signing the deal and for granting the auto company permission to sell its cars in the state were made due to various other reasons. The law of Maryland for the automotive sale and resale has been reconstructed for the electric cars makers so that it can freely sell its cars in the region. The law has now been changed into the company’s favor now which says that every distributor and manufacturer that deals in making electric cars or hybrid cars will only be allowed to carry out selling transactions, a category that the company now falls in.
On the other hand, according to a news piece posted by the International Business Times, Tesla Motors has been stopped from carrying out direct sales in around twenty-five states of the United States. Since the CEO of the smart car making company believes in delivering the firm’s cars through the company itself, he has been seen fighting for permission to be granted to him so that he can make direct sales.
The permission to make direct sales in Maryland is being taken as huge success news for Tesla by the analysts who believe that this is one more accomplishment for the company after the same permission was granted to the automakers in New Jersey.
According to Bidness ETC, the electric car making company is looking towards receiving permission from the governments in Michigan and Texas as well, all for the same reason. Similarly, the automakin' firm is also looking towards entering more states to make sales accordingly.
Toyota Motor reports record revenue for the third consecutive year, on account of a weaker yen and US sales hike.
Toyota Motor Corp. announced its fourth quarter and FY15 financial results on Friday. The biggest automaker in the world reported an upsurge of 6% in its revenue and reached $248.98 billion. The company’s operating income rose by 20% on a year over year basis to 2.75 trillion yen, and operating margin stood at 10.1% in the FY.
Toyota Motor posted $19.87 billion in annual net income up 19% against last year. The company posted earnings of 687.66 yen a share increased by 112.74 yen compared to previous year. For the latest quarter, the net income surged by 50%.
Furthermore, the automaker has delivered robust guidance for the upcoming FY16. The company is most likely to report $20.14 billion in record revenue for the FY ended on March 31 next year.
The car makers announced record revenue in the quarter because of weakling Japanese yen and high sales of SUVs in United States and big size trucks. Akio Toyoda, President of Toyota Motor expressed his views and said the robust results “favorable foreign exchange and cost reduction efforts,” as per Wall Street Journal. Such promising factors equalize the low sales and high expenditures of the company, said Mr. Toyoda.
Meanwhile, Toyota is looking to cut its production costs by its new initiative namely Toyota New Global Architecture. The amount drawn from this initiative is going to be used to upgrade vehicles.. The very first vehicle from this program is most likely to be a Prius redesigned.
During FY15, the company sold approximately 8,971,864 vehicles all over the world, less than 144,169 vehicles sold in fiscal year 2014. Last year, it was the number one car seller surpassing German auto manufacturer Volkswagen and General Motors Co.
During the few years, Toyota has been on “International pause” as it faces difficulties to enhance quality and eliminate overcapacity. It has changed now, as the company has expanded its international market spending to increase production. Earlier in April, the company expanded China plant and declared $1.4 billion if the investment to establish a latest plant in Mexico.
Keeping in mind the latest expansion steps, Mr. Toyoda stated, “This year is going to be a major turning point for Toyota on whether it can take a steady step toward stable growth or whether it will go back to its old ways.”
Toyota stock is currently witnessing an upward movement of approximately 2.5% to $141.35 after reporting financial results. Its stock has increased 12.2% since January this year.
Christensen does not believe so, but analysts at UBS think otherwise.
Tesla Motors (NYSE:TSLA) seems to have revolutionized the automobile industry by coming out with a product that seems to have taken the world by storm, or for that matter, “disrupted” the world. Indeed, the Model S car is heralded as “one of the best cars in the world" at Edmunds.com, based on a report from the Consumer Reports, and also dubbed as the safest car ever tested according to the National Highway Traffic Safety Administration.
However, some are not entirely convinced. Clayton M. Christensen, a professor at Harvard University, believes that it is nothing more than a “sustaining innovation” by Tesla and points out that electric cars were first prototyped by the Japanese, thanks to automobile giants, Honda, Toyota, etc. The company is simply bettering the product that was conceived and brought to reality less than a decade ago. In addition, it is offering the product that has an incrementally better performance.
However, the professor does state that electric golf carts have a greater chance of positively disrupting the overall automobile industry, pointing out that those products are seriously underperforming relative to customer expectations, which can more likely be ‘disrupted’.
Some claim that Christensen’s statement is missing a link. UBS analyst, Steve Milunovich, said that Christensen had predicted limited victory for iPhone in its early days, which came in at a pretty high-point price and is now viewed as sustaining relatively to other mobile companies, such as Nokia. Christensen then had to take those words back, suggesting that iPhone has successfully disrupted the personal computer industry.
Mr. Milunovich also suspects that while Tesla (TSLA) cars may not be disruptive due to the fact that, as mentioned early, it was a prototype that was developed many years ago, but consumers are finding it to be a new product category, simply because it is a “new product” to them.
CEO, Elon Musk, also thinks the same. His electric vehicles will be “disruptive” in a way such that he predicts that revenues will soar 50% for the next decade, due to the strong sales growth of its hybrid electric vehicles. He also pledges to spread the revolution of its electric vehicles by allowing its competitors to use its patents and to share its Supercharger infrastructure with any vehicles made by competing manufacturers.
Therefore, it raises the question, “Will the company’s bold move to quickly expand its manufacturing capacity, coupled with its ability to launch its 2017 Model 3, help it secure a viable position as the ‘front-runner’ of the industry?” Only time will tell with a few years down the line.
Tesla Motors stock price dropped down at $236.61, a drop of less than 0.10%.
