Tesla Inc.’s (TSLA) share price rose over 4 percent on Monday after reports circulated that hundreds of its production-plagued Model 3 cars could soon be delivered to customers.
Hundreds of the electric vehicle manufacturer’s highly anticipated Model 3s were spotted across the company’s delivery centers in California during the weekend, according to Electrek. Rather than for company insiders or employees, these cars are expected to be among the first to be delivered to regular customers.
Electrek, which posted a video showing more than 100 Model 3s at the company's Fremont, California delivery center, described the stockpile as the largest concentration of Model 3s seen yet. As a result, the electric car blog expects deliveries to now come in around 1,000 units for the fourth quarter and potentially more should Tesla fix its remaining production issues.
Teslarati believes that were as much as 200 vehicles on display at the Fremont site alone. Less than a week before, the website spotted a fleet of Model 3s at the company’s newly opened vehicle delivery center in Los Angeles
Parking lots full of Model 3s offer encouraging signs that Tesla might finally have put its production issues behind it. In the third quarter, the company only managed to manufacturer 260 of the mass market cars, despite a preorder list of about 450,000.
Production setbacks were believed to have been partly caused by difficulties assembling the Model 3’s battery. Panasonic (PCRFY), Tesla’s battery production partner, said at the end of October that these problems have now been solved and that production should consequently “rise sharply,” according to Markets Insider. (See also: Tesla Model 3 Delays Due to Suppliers: Oppenheimer.)
That optimism was shared by Telsa CEO Elon Musk. On an earnings call last month, the electric car manufacturer’s founder predicted that Tesla will reach a production rate of “a few thousand units” per week by the end of the year. (See also: Tesla May Miss Its iPhone Moment: Barclays.)