UPDATE: FBN Securities Initiates Coverage On Tesla Motors Inc

In a note published Monday morning, FBN Securities analyst Shebly Seyrafi initiated coverage on Tesla Motors Inc (NASDAQ: TSLA) with an Outperform rating and a $325 price target.

Seyrafi's Buy rating for Tesla, like many, is based on the future growth opportunities of the company. She noted Tesla currently holds only 2.2 percent of its worldwide addressable market for premium sedans, which leaves tremendous room for growth. Seyrafi also noted the Model 3 is expected to sell at $35,000 to 40,000, about half of the current price for the Model S, which she said should be a "significant" catalyst for growth.

As a final note, Seyrafi stated that Tesla's Gigafactory is expected to be fully operational in 2020.