Tesla Stock Price: Model S Earns Highest US Safety Ratings

Tesla Motors Inc’s (NASDAQ:TSLA) flagship Model S sedan has been awarded the highest safety ratings of any car tested by U.S. regulators. The company yesterday said in a statement on its website that the electric car had received five star ratings in all safety and crash categories set by the National Highway Traffic Safety Administration.

According to the statement, the electric car has the “lowest likelihood of injury to occupants” and exceeds the safety score of sport-utility vehicles and minivans.

The Tesla stock price yesterday closed 2.04 percent higher at $144.90 in New York.

Record rating

The California-based electric-car maker led by billionaire Elon Musk, said that Model S has achieved a record combined rating of 5.4 stars.

The company explained that although the NHTSA does not publish a rating above 5 stars, “safety levels better than 5 stars are captured in the overall Vehicle Safety Score (VSS) provided to manufacturers”, which resulted in the stellar performance of Model S.

Model S, powered by a lithium-ion battery, doesn’t have a large petrol engine block in the front, which creates a larger “crumple zone” to protect passengers in the event of a crash, the company explained.

Tesla Motors

The Model S has also earned praise from Consumer Reports magazine, which in May rated the electric vehicle among the best cars it has ever tested. The California-based electric car maker plans to deliver a record 21,000 Model S sedans this year in North America, Europe and Asia.

The company has projected Model S sales to rise to 40,000 per year by the end of 2013, if demand for the sedan in Asia is as strong as in North America and Europe. The model comes with a base price of $70,000.