Tesla’s brand has become synonymous with electric vehicles.
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Electric-vehicle sales around the world are rising while sales of conventional cars are falling. There are few reasons for that.
“There appears to just be quite a profound awakening of the desirability for electric vehicles,” said Tesla (ticker: TSLA) Chief Financial Officer Zachry Kirkhorn on the company’s third quarter earnings conference call on Wednesday. “Folks want to buy an electric car, and folks want to buy a Tesla right now. It’s very exciting for us.”
Exciting indeed. Kirkhorn’s observation led DataTrek Research to wonder about that EV-Tesla portion of the comment.
DataTrek found that people do want Teslas—more than other EVs. “Aggregate the three Tesla models’ [Google] searches and they far outnumber ‘electric car’ queries,” wrote the firm in a Friday research note.
Barron’s modified the search a little. EV actually does better than “electric car” in Google search. But the results remain the same. Model 3 and Model Y searches crush the competition and, combined, outnumber total searches for EVs.
“Takeaway: one can argue about ‘Tesla the stock,’ but ‘Tesla the company’ has built a very strong EV brand here in the States,” added DataTrek.
Recent results are a testament to that strength. Tesla vehicle sales are up almost 100% year to date, compared with 2020. Third-quarter volumes grew more that 70%. That’s impressive considering U.S. light-vehicle sales dropped about 13% year over year in the third quarter.
A shortage of semiconductors is the reason the industry is struggling to meet demand.
Tesla stock has been resilient, however. Shares are up about 38% over the past three months, and just set a record high on Friday, passing the previous intraday high of $900.40 that was set in January. Tesla stock is at $901.41 in early trading Friday, up about 0.8%.
Dow Jones Industrial Average
are up about 0.1% and 0.3%, respectively.
Write to Al Root at firstname.lastname@example.org