Tesla Motors Inc (NASDAQ: TSLA)
Tesla Motors is giving investors yet another reason to invest in the stock with their most recent announcement. The company is moving from the road to the home! The new product announcement came after the trading day yesterday. Today, we’ll chat about what the new product is, how investors reacted to it, and what it could mean for Tesla in the future.
The New Tesla Product Making Waves
Yesterday Tesla announced that it had developed a new product designed to power homes. The product is called “Powerwall” and is designed to reduce the cost of powering your home. The Powerwall should be hitting the US market this summer and is designed for storing solar energy. Here’s what Elon Musk had to say about it…
“Powerwall is a home battery that charges using electricity generated from solar panels, or when utility rates are low, and power your home in the evening. It also fortifies your home against power outages by providing a backup electricity supply. Automated, compact and simple to install, Powerwall offers independence from the utility grid and security of an energy backup.”
How TSLA Investors Reacted
While the Powerwall is sure to be a profitable product; giving investors good reason to invest, we’re not quite seeing the reaction in the market that I had expected. Personally, I think that’s because investors were expecting the new product to be a battery powered car. Nonetheless, the stock is actually down today. It has closed the day at $226.03, after a loss of 0.01%.
What We Can Expect Moving Forward
While it would be nice to see Tesla advance in the driverless car space, I have to say that I’m pretty impressed with this new product; and I don’t seem to be the only one. If you search Google for Tesla right now, chances are that 3 out of every 4 articles you find will have something to do with the Powerwall. Also considering the fact that solar is still a growing industry (even with oil values down), this can prove to be an incredibly lucrative venture. With all of that in mind, I have to say that I’m expecting big things from Tesla moving forward!
What Do You Think?
Where do you think Tesla is headed and why? Let us know in the comments below!