Trip Chowdhry Weighs In On Tesla's Supply Worries

Research firm Global Equities Research recently conducted routine checks at Tesla Motors Inc TSLA's factory in Fremont, California. In a report issued Thursday, Trip Chowdhry provided an incremental update on the state of affairs.

The analyst highlights a few key points from the visits:

• “Tesla is the Technology Benchmark for defining the Future of Transportation (…) Competition is completely clueless.”
• January and February production was slow due of the Port Strike. On the other hand, March production has been extremely strong. Hence, the business for the first quarter of 2015 remains uncertain.
• International shipments were quite light, while domestic shipments remained strong.
• With the Port Strike ended, he expects the business to show stabilization in the second quarter, with acceleration in the third quarter and beyond.
• “Investors with mid-to-long term (>8 months) of Investing horizon should build position in TSLA at these levels.”

Pictures showed a large number of supplier containers on the Tesla Factory property, which wasn't the case last year.

A new area held recently-manufactured cars. Chowdry and his team saw about 70 cars held in this area, with potential capacity of about 300 cars. “Majority of cars were P85D, which indicates that demand for P85D is strong.”