Tesla Motors shares slid 10% in midday trading after Consumer Reportsmagazine rated its Model S “worse than average” for predicted reliability.
The knock on Tesla’s reputation comes despite Tesla’s glowing reviews for two versions of the Model S that it has bought for testing. Most recently, the magazine called the performance version the best car it has ever tested.
But predicted reliability is a new sore spot for the electric car. The magazine says the 1,400 owners who answered their annual predicted reliability survey complained about problems related to drivetrain, power equipment, charging equipment, center console, and body and sunroof squeaks, rattles, and leaks.
On the basis of all those issues comes the magazine’s worst predicted reliability rating.
Investors reacted by dropping the stock 10.3% at midday to $204.58, down $23.52.
Consumer Reports‘ ratings are among the most closely watched in the auto industry because of its reputation for independence. It says the 2015 Annual Auto Reliability Survey takes into account data from more than 740,000 vehicles.
Written by Chris Woodyard of USA Today
(Source: USA Today)
