Tesla Loses Consumer Reports Recommendation Amid Rise in Sales
- Reversal sends automaker's shares down most since Aug. 6
- Quality issue arises as Tesla adds new Model S features
Why Consumer Reports Ended Tesla Model S Recommendations
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Tesla Motors Inc., the Silicon Valley carmaker whose market value is greater than those of large global players like Fiat Chrysler Automobiles NV and France’s Peugeot SA, is starting to experience the growing pains that come from producing more cars.
The company’s flagship Model S electric car lost its recommendation from Consumer Reports after owners complained about quality issues as mundane as a squeaky sunroof to major issues like the electric motor needing to be replaced, the publication said in its forthcoming December issue. The news sent shares tumbling 6.6 percent to $213.03, its biggest drop since Aug. 6.