Tesla (TSLA) May Be Working on a New Family-Focused SUV

EV maker Tesla TSLA -2.35% ▼ may be working on a Robovan-style vehicle, or at least a large, family-focused SUV, based on Elon Musk’s latest hints. After saying earlier this week that something “way cooler than a minivan” is coming, Musk responded “Noted” to a suggestion about a three-row vehicle with separate doors for each row. That short reply matters because the Model X is being phased out, and Tesla clearly needs something new to fill that gap for larger families.

Claim 30% Off TipRanks Premium

New trading tool for TSLA bulls/bears

At first, there was a lot of confusion about what Musk meant. Some thought he was talking about the Roadster. Others believed that it could be the Robovan itself finally coming to consumers, especially since Tesla has teased larger vehicle concepts before, including a CyberSUV in past promotional content. However, Musk’s latest response suggests that this may not be an existing concept at all, but instead a completely new project designed specifically around family use.

When you look at Tesla’s lineup today, this move actually makes sense, as even the Model X isn’t large enough to compete with full-size SUVs. This is especially true for bigger families that need more space and easier access. Because of that, a three-row vehicle, possibly with multiple doors for each row, could be exactly what customers have been asking for. At the same time, it also suggests that Tesla likely isn’t planning to rely on the China-built Model Y L for the U.S. market.

What Is the Prediction for TSLA Stock?

Turning to Wall Street, analysts have a Hold consensus rating on TSLA stock based on 13 Buys, 11 Holds, and seven Sells assigned in the past three months, as indicated by the graphic below. Furthermore, the average TSLA price target of $399.33 per share implies 5.7% upside potential.

Disclaimer & DisclosureReport an Issue