Demand for electric vehicles is growing quickly, but from a very small base. In the U.S., the number of new electric vehicle registrations has grown from 1,011 in 2010 to 65,848 in 2015, according to statistics from research firm IHS. However, this makes up only 0.4 percent share of the U.S. car market, while gasoline cars make up 82.3 percent of the market.
But that share is predicted to rise. Electric vehicles are projected to make up 15 to 20 percent of all global car sales by 2025, according to Andy Turton, head of automotive for the Americas at TNS. This demand is being assisted by a range of factors, including government demands to reduce emissions, tax breaks for electric vehicles and growing networks of charging stations.
The biggest factor, according to Turton, is government action to encourage electric vehicle adoption. "Many consumers claim to care about protecting the environment but in reality few will make sacrifices to do so," he told CNBC via email.
"On the other hand, a great looking EV (electric vehicle) with a good driving range, a sensible price point and a tax break, now that's quite a different story."
Disclaimer: Patrick Armstrong and Plurimi Investment Managers have no holdings of Tesla shares.
—Additional reporting by CNBC's Phil LeBeau.