Tesla Shares rise as Model 3 Production Target is Reached

Tesla Inc. (NASDAQ: TSLA) announced on Monday that it produced over 50,000 vehicles in the second quarter, sending its shares up over 2%.

The electric vehicle maker said its Q2 production totaled 53,339 vehicles, an increase of 55% from the prior period. The Company produced 5,031 Model 3 and 1,913 Model S and X vehicles in the last seven days of the second quarter.

Tesla produced 28,578 Model 3 in the second quarter, almost three times the amount of Model 3 they did in the previous quarter. However, only 18,440 Model 3 vehicles were delivered in the second quarter, falling short of analysts’ estimates.

“The last 12 months were some of the most difficult in Tesla’s history, and we are incredibly proud of the whole Tesla team for achieving the 5,000 unit Model 3 production rate. It was not easy, but it was definitely worth it.” The Company said in the press release.

Tesla shares jumped as much as 5% in the early trading on Monday, but it gave up some of its gains and was trading 2% higher at USD 352.11 per share.

Tesla delivered 40,740 vehicles in Q2, including 10,930 Model S and 11,370 Model X.

Tesla now expected to produce 6,000 Model 3 vehicles per week by August. The Company also reaffirmed its guidance to post positive net income and cash flow in Q3 and Q4.

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