Edmunds.com Senior Analyst On Tesla Sell-Off: 'There Is Definitely A Relationship Between Gas Prices And Electric Cars'

When asked about why shares of Tesla Motors Inc (NASDAQ: TSLA) might be trading down Wednesday, Senior Analyst for Edmunds.com Jessica Caldwell told Benzinga that gas prices “certainly” have an effect on electric-drive cars.

“When gas prices go up, people are less likely to look for alternatives to their vehicles that get better fuel efficiency,” she said.

She pointed out that the recent softer demand for many electric and hybrid vehicles is a result of better gas prices.

Brianna Valleskey contributed to this report.