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Tesla has BIGGEST trading day since 2013 after strong Q3 and as Shanghai plant opening nears

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Tesla had its biggest trading day in six years, after the electric automaker delivered strong third quarter earnings and moved closer to opening a manufacturing plant in Shanghai.

Tesla stock ended the day trading up at 17.7 percent, closing at almost $300 a share, surprising analysts who expressed more confidence in the company’s future. 

‘Skeptics had legitimate concerns in the past, but Tesla is now building cash, winning market share, and boosting margins – all while preparing to launch products in untapped segments and regions,’ Piper Jaffray analyst Alexander Potter said in a note to investors after the results. 

Analysts expressed more confidence in Tesla's future after the electric automaker had its biggest trading day in six years Thursday

Analysts expressed more confidence in Tesla’s future after the electric automaker had its biggest trading day in six years Thursday

Tesla stock, traded on the NASDAQ (pictured) ended the day up 17.7 percent, closing at almost $300 a share, surprising analysts

Tesla stock, traded on the NASDAQ (pictured) ended the day up 17.7 percent, closing at almost $300 a share, surprising analysts

Tesla shares continued to trade up in after-hours trading (pictured). Shares started the day trading above $300, returning to levels not seen since February. Despite the good results, the company's stock was still down 10% for 2019

Tesla shares continued to trade up in after-hours trading (pictured). Shares started the day trading above $300, returning to levels not seen since February. Despite the good results, the company’s stock was still down 10% for 2019

Piper Jaffray has an overweight price target on Tesla with a $372 a share price target, reports MSNBC.  

Tesla shares, which closed at $299.68, had their best day since May 2013, had started the day trading above $300, returning to levels not seen since February. Despite the good results, the company’s stock was still down 10% for 2019.  

‘Management projected a bullish tone on near-term demand, indicating that they were ‘highly confident’ in exceeding their Q4 deliveries guidance of 105k cars,’ Bernstein analyst Toni Sacconaghi said in a note to investors. 

Bernstein has a market-perform rating on Tesla with a $325 price target, MSNBC reports.

UBS analyst Patrick Hummel, typically among the more skeptical, was still drawn to Tesla’s ‘solid’ free cash flow in the quarter. After having a sell rating on the automaker and $160 price target, UBS was now planing to review its ‘financial model on Tesla following the results,’ Hummel says.

Amid the strong earnings for Q3, word was that Tesla's 'Gigafactory' in China (pictured), which equals to the size of 121 football fields, may begin production within days

Amid the strong earnings for Q3, word was that Tesla’s ‘Gigafactory’ in China (pictured), which equals to the size of 121 football fields, may begin production within days

Amid the strong earnings for Q3, word was that Tesla’s ‘Gigafactory’ in China, which equals to the size of 121 football fields, may begin production within days.

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The Chinese government on October 17 granted Tesla its production license, which means the ‘Gigafactory’ can begin making cars ‘any time from now’, an expert said.

Photographs thought to have been taken inside the factory in August suggested the site could have been doing trial production runs.

Tesla, co-founded by billionaire Elon Musk, intends to use the 500,000-vehicle-capacity plant to produce base versions of Model 3 and later also the Model Y.

Tesla, co-founded by billionaire Elon Musk (pictured), intends to use the 500,000-vehicle-capacity plant in Shanghai to produce base versions of Model 3 and later also the Model Y

Tesla, co-founded by billionaire Elon Musk (pictured), intends to use the 500,000-vehicle-capacity plant in Shanghai to produce base versions of Model 3 and later also the Model Y

As for domestic production, Musk indicated in a leaked email to employees last month that the company had a 'shot' at delivering 100,000 electric vehicles. Pictured above is the company's factory in Fremont, California, earlier this month

As for domestic production, Musk indicated in a leaked email to employees last month that the company had a ‘shot’ at delivering 100,000 electric vehicles. Pictured above is the company’s factory in Fremont, California, earlier this month

For consumers in the Far East, the made-in-China Tesla cars would be a third cheaper than their imported equivalents, reported state-run Xinhua, citing Mr Musk.

The news came just 10 months after ground was broken for the $2billion (£1.55 billion) complex in Lingang area, a high-end manufacturing park in Shanghai.

Although Tesla is yet to announce when the huge plant will be put to use, Chinese observers expect manufacturing to begin by the end of the month.

As for domestic production, Musk indicated in a leaked email to employees last month that the company had a ‘shot’ at delivering 100,000 electric vehicles. Musk wrote that it was ‘an incredibly exciting milestone’ for the company, reported industry news site Electrek.

The email itself had been an indicator of growing demand for the company’s vehicles, doing wonders for investors who saw the values of their shares in the company jump 6 percent. 

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