KeyBanc analyst Brad Erickson said his checks with 20 Tesla sales centers across the U.S. indicate Model 3 volumes are showing a "meaningful ramp," with deliveries tracking about 50% higher than his prior estimates for the quarter. Following the positive checks, Erickson raised his Model 3 deliveries estimate for the second quarter to 30,000 from 20,000 and his 2018 estimate to 118,182 from 98,182. Erickson continues to expect gross margins on the Model 3 to turn positive in Q3 and thinks evidence to support the bear case that Model 3 demand is softening or that production isn't ramping is not likely to emerge in the near term. However, he keeps a Sector Weight rating on Tesla shares, citing his "core belief" there is a significant premium built into the stock.

Says it may still take three years for automaker to integrate Tesla AI technology into its model

Elon Musk says: "Regarding FSD Version 12, which is the pure AI-based self-driving, if you haven't experienced this, I strongly urge you to try it out, it's profound. And the rate of improvement is rapid. And we've now turned that on for all cars with the cameras and inference computer everything from Hardware 3 on in North America. So it's been pushed out to, I think, around 1.8 million vehicles, and we're seeing about half of people use it so far and that percentage is increasing with each passing week."

Check out this evening's top movers from around Wall Street, compiled by The Fly. HIGHER AFTER EARNINGSAudioEye (AEYE) up... To see the rest of the story go to thefly.com. See Story Here

Tesla (TSLA) is expected to report results on its fiscal first quarter on Tuesday, April 23, with a conference call scheduled for 5:30 pm EDT. What to watch... To see the rest of the story go to thefly.com. See Story Here

Wells Fargo lowered the firm's price target on On Semiconductor (ON) to $95 from $110 and keeps an Overweight rating on the shares ahead of quarterly results. The firm anticipates On to deliver a Q2 guide slightly below expectations as it adjusts to Tesla-specific (TSLA) production softness specific to image sensor and SiC sales.