S&P hikes Tesla to investment grade

S&P said it boosted its ratings for Tesla Inc. and its notes to BBB from BB+.

“Tesla's year-to-date (ended Sept. 30, 2022) production and deliveries indicate solid execution on capacity expansion to support strong demand for its products amid ongoing supply disruptions. In the third quarter, Tesla produced more than 365,000 vehicles, taking its year-to-date levels to nearly 930,000 vehicles, up nearly 50% year-over-year, on track with its average annual growth target over a multiyear horizon,” the agency said in a press release.

S&P said it forecasts Tesla will sustain free operating cash flow to sales of more than 10% compared with the agency’s prior 2% upside trigger.

The outlook is stable.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.