Tesla Model 3 grabs $7.5 billion in sales in first 24 hours

Tesla Model 3

The Tesla Model 3 is a huge success and it won’t even debut until the end of 2017.

Tesla CEO Elon Musk debuted the new family sedan during an event on Thursday night and by 11:00am the company had sold 180,000 cars through its pre-order portal.

Musk explained that the average selling price of the Model 3 is $42,000 for a total of nearly $7.5 billion raised in just one day.

“Future of electric cars looking bright,” Musk proclaimed.

Before Musk even unveiled the Model 3 at 8:30 p.m. PT, there were already 115,000 orders.

The Tesla Model 3 started with a base price of $35,000 and then increased based on added features, such as a larger engine and auto pilot feature.

It was an impressive launch, Morgan Stanley auto analyst Adam Jonas said in a note to clients Friday. “If Tesla can produce and deliver (even roughly on time) the car they unveiled last night at close to a $35,000 price, then this stock is probably quite undervalued,” he said. “Granted, it’s only a fully refundable thousand dollar deposit, but to achieve well over 100,000 preliminary orders for any car in the first 24 hours, even with no deposit, is an admirable achievement.”

Tesla shares are up nearly 4% as of 2:30pm Eastern.

Tesla shares after Model 3 debut

Tesla has been under pressure to debut the Model 3 as falling gas prices placed stress on the company’s stock while buyers flocked to gas-powered vehicles.

The big question now will be whether or not Tesla’s Gigabit factory can get online and produce enough lithium ion batteries to meet the massive demand Tesla is now facing.