An anonymous reader writes: After receiving more than 198,000 Model 3 preorders in the first 24 hours, Tesla may need more cash if it hopes to deliver their new electric vehicle to customers on time, analysts said. Elon Musk plans to launch the Model 3 in late 2017, eventually boosting the company’s annual production tenfold to 500,000 by 2020. Many analysts believe some customers making early reservations may not receive their vehicle until 2019 or 2020. Morgan Stanley analyst Adam Jonas, predicted Tesla’s sales will hit under 250,000 in 2020. Barclays analyst Brian Johnson, believes the surge of Model 3 reservations could reach 300,000 by the end of June. Some analysts expect the first cars will sell for an average of $50,000-$60,000, but Tesla prices its current models in several “tiers,” depending on content and optional features. RBC analyst Joseph Spak said strong initial orders for the Model 3 could help Tesla achieve positive free cash flow. In February, the company said it expected to be cash-flow positive in March. Spak said Tesla may not be able to fulfill many of the early orders before 2019: “Demand was never really our concern, it is more about execution and getting production up to meet demand.”
Read more of this story at Slashdot.