Tesla Motors regularly gave out a crucial number that gave the public a good idea of how much demand existed for its electric cars.
On Wednesday, the company said it was no longer going to provide that data, explaining that it was “no longer a meaningful metric.â€
The figure in question is how many reservations existed for Tesla’s cars at the end of each quarter. The reservation number was useful because it could be analyzed to calculate how many orders were coming in each quarter for its cars.
Outsiders valued that visibility because, over all, it’s hard to gauge how much demand exists for Tesla’s automobiles.
The company’s supporters say the market for its products could be substantial. They contend that Tesla’s sedan, the Model S, is so good that it will change how people view electric vehicles. In turn, that could generate even more demand for its products.
The doubters, however, think there may not be that many buyers of Tesla’s cars beyond the electric car enthusiasts who have swooped in early. As a result, an early surge in sales could soon wane, they argue.
In explaining its decision to stop giving out the reservation data, Tesla said that as its production line had become more reliable, potential buyers would not have to get in line for their cars in quite the same way as before. Now, customers in North America will place their order online rather than “placing a generic reservation in a queue.â€
Supporters of the company may not be too concerned about the disappearance of the reservation data. They may interpret it as a sign that the company is managing to sell a substantial number of cars soon after they come off the production line. In other words, Tesla is moving into a sweet spot, where its factory is keeping up with strong demand.
But the skeptics may conclude that the decision to pull the reservation data is a sign that new orders aren’t coming in at a strong rate. Reducing disclosure has never been a positive when it comes to public companies, they might argue.
A Tesla spokeswoman did not return an e-mail seeking comment. On a public conference call with Wall Street analysts on Wednesday, Tesla executives were not pressed for more details about their decision to stop providing the reservation numbers. But they were asked whether potential buyers still had to make reservations and put down deposits.
On the call, Elon Musk, Tesla’s chief executive, added some details about the new buying process. His explanation suggested that customers still had to reserve a car and put down money.
Another way to assess future demand for the car is to look at its sales projections. But those don’t appear to show a big rise in demand. Tesla recognized sales of 4,900 vehicles in its first quarter. On Wednesday, it said it expected to deliver 4,500 cars in North America in the second quarter. Tesla did forecast that it would produce 5,000 cars in the second quarter, but some of those were for Europe and would not show up in sales numbers until the third quarter.
On Wednesday, investors seemed not to care that they won’t be getting reservation data. Tesla’s shares soared 25 percent in trading after the close of the regular market. If that gain holds when the stock opens on Thursday, Tesla stock will have doubled so far this year.
