Please ensure Javascript is enabled for purposes of website accessibility
Free Article Join Over 1 Million Premium Members And Get More In-Depth Stock Guidance and Research

Tesla: Accident Caused Third Model S Fire

By Daniel Sparks - Nov 7, 2013 at 12:41PM

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

Driver of Tesla Model S not injured. Police say car struck a tow hitch.

A third Model S fire occurred in Tennessee this week. Tesla Motors ( TSLA -6.42% ) spokeswoman Elizabeth Jarvis-Shean confirmed the fire with this statement this morning.

We have been in contact with the driver, who was not injured and believes the car saved his life. Our team is on its way to Tennessee to learn more about what happened in the accident. We will provide more information when we're able to do so.

The fire was not spontaneous and was, in fact, the result of an accident, according to Tesla. The blaze on Wednesday afternoon engulfed the front of the car. A spokeswoman for the Tennessee Highway Patrol said the Model S was headed east on Interstate 24 when it ran over a tow hitch. The hitch hit the undercarriage of the car, causing an electrical fire.

The previous two fires occurred in October, both the result of accidents. Tesla said previously that the first fire was caused when the Model S struck a metal object. The second fire reportedly started after the driver smashed through a concrete wall and into a tree.

After the first fire, the National Highway Traffic Safety Administration took a look and said it "has not found evidence at this time that would indicate the recent battery fire involving a Tesla Model S was the result of a vehicle safety defect or non-compliance with federal safety standards."

Tesla's stock is down 7% today, likely in reaction to the Model S fire. It's been nearly three months since shares have reached levels this low. The stock is down about 28% from its all-time high of $194.50 just over a month ago.

-- Material from The Associated Press was used in this report.


This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium advisory service. We’re motley! Questioning an investing thesis – even one of our own – helps us all think critically about investing and make decisions that help us become smarter, happier, and richer.

Invest Smarter with The Motley Fool

Join Over 1 Million Premium Members Receiving…

  • New Stock Picks Each Month
  • Detailed Analysis of Companies
  • Model Portfolios
  • Live Streaming During Market Hours
  • And Much More
Get Started Now

Stocks Mentioned

Tesla, Inc. Stock Quote
Tesla, Inc.
$1,014.97 (-6.42%) $-69.63

*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.

Related Articles

Motley Fool Returns

Motley Fool Stock Advisor

Market-beating stocks from our award-winning service.

Stock Advisor Returns
S&P 500 Returns

Calculated by average return of all stock recommendations since inception of the Stock Advisor service in February of 2002. Returns as of 12/05/2021.

Discounted offers are only available to new members. Stock Advisor list price is $199 per year.

Our Most Popular Articles

Premium Investing Services

Invest better with the Motley Fool. Get stock recommendations, portfolio guidance, and more from the Motley Fool's premium services.