Tesla Motors Inc.
, the electric-car maker being reviewed by U.S. regulators over battery-related fires, jumped in New York trading Tuesday after saying the safety rating for its Model S sedan is reaffirmed for the 2014 model year.
The flagship vehicle from the Palo Alto, Calif.-based company, with a $70,000 base price, retains a 5-star rating for crashworthiness, the highest designation given by the National Highway Traffic Safety Administration.
The federal agency opened a review of the car last month after fires in Tennessee and Washington state occurred when drivers struck metal debris.
“Any good news is going to send this stock higher,” James Ramelli, a strategist for Keeneonthemarket.com, said in a Bloomberg Television interview. “In the last couple of days of the year, a lot of fund managers are going to want to buy Tesla at these lower levels.”Read Article