Tesla's deliveries doubled in first quarter despite the pandemic

Tesla says it delivered nearly 185,000 electric vehicles in the first quarter of 2021 despite a shortage of computer chips hitting the global automotive industry.

The number was more than double the deliveries for the same period last year, and Wall Street estimates 168,000 for January to March. The company stated in a statement that the Model Y small SUV was well received in China.

Tesla does not mention production figures for its older models, the S-sedan and X-sport utility vehicle, during the quarter but produces more than 2,000 of them. It is said that new equipment was installed at the factory in Fremont, California, in the United States, and that the production of new versions is in the early stages.

The strong sales are a sign that demand for the company's relatively expensive vehicles remains strong despite the coronavirus pandemic. Analysts surveyed by data provider FactSet estimate that the average selling price of a Tesla is $ 49,100.The shares of Tesla Inc have declined by more than 9 percent so far this year as the luster of electric vehicles and technology stocks has declined, which had a big run-up last year. The stock closed at just under one percent on Thursday at $ 661.75. The markets are closed for the Good Friday holiday.

Tesla sold just under 500,000 vehicles last year, and barely a goal set by CEO Elon Musk. The company did not provide much guidance for the year's sales figures.

Wedbush analyst Dan Ives called the numbers a 'jaw' in the first quarter and a large household in the eyes of bullish investors. "We believe China and Europe were particularly strong this quarter, as Musk & Co. will now exceed more than 850,000 for the year, which is far better than the whisper expectations," he wrote on Friday.

The Model 3 small car and the Model Y accounted for almost all of Palo Alto, California's first-quarter sales. Tesla said it sells 182,780 of both models together.

Ives wrote that analysts expect more than 12,000 sales of models S and X, with the fog driven by the shortage of chips.

The strong sales took place, although the company stopped a large portion of Fremont production for a few weeks in late February and early March. It did not say why, but probably the computer chips had a shortage.

U.S. President Joe Biden's $ 174 billion announcements this week of incentives and charging stations for electric vehicles, and the growing global demand for electric vehicles, should shift sentiment to Tesla inventory, Ives wrote.

"It was a cruel sale for Tesla and EVs, but we believe it will now be in the rearview mirror," he wrote.