Tesla Motors Inc (TSLA): Three Numbers to Watch

The company recently told Bloomberg that it is very confident that it will get to 800 vehicles per week by late 2014. This makes for about 38,400 vehicles annually — still far from the several hundred thousand vehicles per year the company expects to produce someday after it releases the $30,000 model that Musk asserts will come to the market in about three to four years.

Investors should keep a close eye on the company’s comments regarding current and projected weekly production rates. Obviously the farther out the projection, the less useful it is, but a projection of production rates one year out is definitely a useful indicator of the company’s interpretation of its global demand.

The Model S is going global
For Tesla Motors Inc (NASDAQ:TSLA), 2012 was the year of the Model S. And 2013? “This year, we are on a journey to expand the presence of the Model S and turn profitable,” states Tesla’s 2012 annual letter to shareholders.

With the stock trading at a significant premium, obvious drivers of growth, such as Tesla Motors Inc (NASDAQ:TSLA)’s opportunities in Europe and Asia, are mostly already priced in. So the company’s international expansion definitely should not be the sole merit behind a decision to invest in the stock, but it’s definitely an area to watch closely.

Trends in store openings, international sales, and production rates should appear exponential in order for the company to have a shot at growing into its valuation. Next quarter, in particular, will be a very important quarter for these three numbers as the company begins to accept orders and make deliveries in international markets. Tesla Motors Inc (NASDAQ:TSLA)’s projections for these three areas will help investors gauge the company’s internal interpretation of its international opportunity.

The article Tesla Motors: 3 Numbers to Watch originally appeared on Fool.com and is written by Daniel Sparks.

Fool contributor Daniel Sparks has no position in any stocks mentioned. The Motley Fool recommends Tesla Motors. The Motley Fool owns shares of Tesla Motors.

Copyright © 1995 – 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.