Elon Musk and his company might be lagging behind in terms of delivering electric vehicles and also reporting losses quarter after quarter, but Musk has been successful in keeping investors and prospective clients interested in whatever he is doing. Tesla Motors reported revenue of $2.79 billion and loss of $1.33 per share for second quarter. Investors are still showing confidence in Elon Musk and his team.

As Musk announced Model 3 and a bond issue raising $1.5 billion, many market analysts were skeptical about the bond issue. However, latest reports suggest that Musk met investors and discussed the bond issue. As per reports, Tesla already has commitment for over 35 percent of its $1.5 billion bond issue.

Tesla bonds have been rated as junk bonds by major credit rating agencies. Junk bonds have high risk and they pay high rate of interest. Tesla is planning expansion to deliver its first mass-market electric vehicle Model 3. Investors are confident that the company will turn profitable as more people get deliveries of their booked vehicles.

Tesla has failed to meet delivery timelines in the past and Musk has acknowledged the issue. Musk has earlier informed investors that the company needs to improve its production capacities to deal with higher demand for its electric vehicles. While other automobile companies are going slow in electric vehicle segment, Tesla has first mover advantage in setting up a strong nationwide chain of super-charging points.