As a top executive and top engineer leave, Tesla Motors stock (TSLA) plummtereds nearly 20%, before rebounding.
Tesla Motors stock has been a bit of a roller coaster ride. The company went public in June 2010 with shares priced at $17 each. In December Morgan Stanley officially cut the stock two notches from overweight to underweight. Sales of Electric Vehicles (EV) have not been great across the board, and Tesla has felt the hit in its valuation, dropping from about $28 to under $23 overnight. That was a week ago though, and Tesla shares have since almost climbed back to where they were prior to two high-profile departures, sitting at just above $27 a share as of this writing.
Tesla’s vice president and chief engineer Peter Rawlinson and Nick Sampson, who supervised vehicle and chassis engineering, departed Tesla Motors in January according to Tesla Motors spokes person Ricardo Reyes.
“Having completed conceptual and design engineering work on Model S, Peter has decided to step away to tend to personal matters in the U.K.”, said Reyes. Reyes went on to say that Sampson had “fully transitioned” off the Model S at the time of his departure.
The Model S is Tesla’s big push, not entirely an all or nothing bid, but for sure a huge milestone for the young company. The Model S will be Tesla’s second vehicle, following its $109,000 Roadster which was the winner of Gas2’s EV of the year for 2011. The Model S is expected to have a starting price of $57,400, before the tax credit with that model having a 160 mile range.
Tesla stock has proven remarkably resilient, especially for a company that has been in business for almost a decade without turning a profit. CEO Elon Musk expects to make a profit by 2013, but Tesla’s stock remains a risk…one that could ultimately pay off in big ways.
Andrew Meggison was born in the state of Maine and educated in Massachusetts. Andrew earned a Bachelor’s Degree in Government and International Relations from Clark University and a Master’s Degree in Political Science from Northeastern University. Being an Eagle Scout, Andrew has a passion for all things environmental. In his free time Andrew enjoys writing, exploring the great outdoors, a good film, and a creative cocktail. You can follow Andrew on Twitter @AndrewMeggison