Tesla Inc (TSLA)

[jimmybob]

Safety may be 'real surprise' that drives Model 3 awareness, says Morgan Stanley
Morgan Stanley analyst Adam Jonas thinks Tesla's mass-market Model 3 will feature hardware and software that could yield safety performance "significantly" ahead of all other cars on sale today. The analyst, who contends that "You don't put a liquid cooled supercomputer in every car to make it just twice as safe as other cars," notes that Tesla has stated a goal to make its vehicles 10 times safer than the average car, while adding that "nearly every" automaker he talks to says safety is the number one determinant of purchases. If the Model 3 can demonstrate a safety edge on that order of magnitude, Jonas would expect an acceleration of the market's awareness of the obsolescence of used cars and an acceleration of insurance company repricing of premiums, he tells investors. The analyst keeps an Overweight rating and $305 price target on Tesla shares