Dear Valued Visitor,

We have noticed that you are using an ad blocker software.

Although advertisements on the web pages may degrade your experience, our business certainly depends on them and we can only keep providing you high-quality research based articles as long as we can display ads on our pages.

To view this article, you can disable your ad blocker and refresh this page or simply login.

We only allow registered users to use ad blockers. You can sign up for free by clicking here or you can login if you are already a member.

Can General Motors Company(GM)’s Chevy Bolt Make Tesla Motors Inc (TSLA)’s Musk Sweat? Ben Kallo Doesn’t Think So

General Motors Company (NYSE:GM) is all set to enter the race for EV market with Tesla Motors Inc (NASDAQ:TSLA) with the revelation of its second generation Chevy Volt and Bolt models in the Auto show at Detroit. Tesla Motors Inc (NASDAQ:TSLA) is planning to launch its Model 3 vehicle in 2017, which is expected to have a 200 mile range with a price tag of $35,000. General Motors Company (NYSE:GM)’s Chevy Bolt is also expected to have a 200 mile range with a price tag of $30,000 – $35,000. So will Chevy Bolt be able to grab the shares from Tesla Motors Inc (NASDAQ:TSLA) or will the Bolt model fail as the first generation Chevy Volt did? Ben Kallo, Senior Research Analyst at R.W. Baird talked on CNBC about his view on the battle between Tesla Motors Inc (NASDAQ:TSLA) and General Motors Company (NYSE:GM).

General Motors, is GM a good stock to buy, Tesla, is TSLA a good stock to buy, Chevrolet Bolt, GM Bolt, Model 3,

One added advantage that General Motors Company (NYSE:GM) possess is the distribution network that they have in United States. This will enable people to visit the distribution centers and test drive the GM vehicles, which is not possible with a Tesla Motors Inc (NASDAQ:TSLA) vehicle. But will this catalyst just be enough to capture some share in the EV market? Kallo thinks that GM’s performance in EV has been lackluster so far. He said that they are not expecting anything different with the new vehicles from GM.

Kallo added that after having a look at GM’s concept car, lackluster is the only word that comes to mind. He said that Tesla Motors Inc (NASDAQ:TSLA) would never do such a vehicle. As far as General Motors Company (NYSE:GM) is concerned they might not look for an outright win in the EV game, but if they managed to grab some share from Tesla Motors Inc (NASDAQ:TSLA), they would be satisfied. Kallo doesn’t think that this will be a risk in their model for Tesla Motors Inc (NASDAQ:TSLA) coverage.

“I think the way we look at it and with the way we have always looked at is that we initiate Tesla as a performance car and a luxury car manufacturer and we expect to Model 3 will compete with the Audi A4 and BMW 3 series, rather than other electric vehicles like this (Chevy Bolt) that more have the same performance characteristics.

R.W. Baird has a ‘Buy’ rating on Tesla Motors Inc (NASDAQ:TSLA) with a price target of $275, which is currently trading at $202.

Disclosure: None

Warren Buffett and BillionairesFree Report: Warren Buffett and 12 Billionaires Are Crazy About These 7 Stocks

Let Warren Buffett, David Einhorn, George Soros, and David Tepper WORK FOR YOU. If you want to beat the low cost index funds by an average of 6 percentage points per year look no further than Warren Buffett’s stock picks. That’s the margin Buffett’s stock picks outperformed the market since 2008. In this free report, Insider Monkey’s market beating research team identified 7 stocks Warren Buffett and 12 other billionaires are crazy about. CLICK HERE NOW for all the details.

Biotech Stock Alert - 20% Guaranteed Return in One Year

Hedge Funds and Insiders Are Piling Into

One of 2015's best hedge funds and two insiders snapped up shares of this medical device stock recently. We believe its transformative and disruptive device will storm the $3+ billion market and help it achieve 500%-1000% gains in 3 years.

Get your FREE REPORT and the details of our 20% return guarantee today.

Subscribe me to Insider Monkey's Free Daily Newsletter
This is a FREE report from Insider Monkey. Credit Card is NOT required.
Loading Comments...

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 102% in 3 years!! Wondering How?

Download a complete edition of our newsletter for free!