NEW YORK (TheStreet) -- An uptick in European orders should enable Tesla's first quarter deliveries to exceed its guidance, Credit Suisse wrote in a note to investors earlier today. WHAT'S NEW: Preliminary data on March order trends indicate that demand for Tesla's vehicles in Europe is rising significantly, Credit Suisse analyst Dan Galves stated. The addition of all-wheel drive capabilities to Tesla's cars is probably making the vehicles more appealing to northern European consumers, the analyst believes. Tesla is poised to sell about 3,500 vehicles in Europe in the first quarter and if this estimate proves to be correct, the automaker needs to sell 9,500 vehicles in the U.S., equaling the average of its past eight quarters, to meet its guidance, Galves wrote. However, Tesla noted that 1,400 of its U.S. vehicle sales slipped to Q1 from the previous quarter, and the company does not appear to be experiencing supply issues this quarter as it has over the last two years, the analyst stated. As a result, he thinks there is a good chance that Tesla's global Q1 deliveries will exceed its guidance. As for Q2, the analyst predicts that a full quarter of all-wheel drive vehicle sales will drive growth in Europe over Q1, while more production weeks and better leasing options should spur strong sales in the U.S. He kept a $290 price target and Outperform rating on the shares. WHAT'S NOTABLE: In a note to investors on March 31, Goldman Sachs analyst Patrick Archambault wrote that the outlook for Tesla's stock had improved in the wake of the 33% decline in its shares since September 2014. Concerns about competition in the electric vehicle market is overblown, while Tesla is likely to disrupt the auto market, according to Archambault, who kept a $214 price target and Hold rating on the shares, but added that he thinks the stock could exceed that target. PRICE ACTION: In early trading, Tesla rose 2.6% to $192.50 per share. Reporting by Larry Ramer.
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