Tesla Motors shares down on viral fire video

Oct 03, 2013, 5:06 PM EDT
The Tesla Model S, Motor Trend Car of the Year is introduced at the 2013 North American International Auto Show in Detroit, Michigan, January 15, 2013.

Shares in electric car maker Tesla Motors fell by as much as 10% before recovering half of that by close of Thursday trade after a video of one of the company's flagship Model S vehicles catching alight went viral on social media. The company said the car's battery caught fire after hitting a large metallic object in the road. The incident has reignited investors' fears about the safety of lithium-ion batteries, though Jeff Bartlett of Consumer Reports called the fire an "anomaly" and in August the vehicle received a rare five-star rating from the U.S. National Highway Traffic Safety Administration. Despite the latest decline, Tesla shares are still trading at more than six times their 52-week low.