Tesla's Stock Surge Sparks Mixed Reactions Amidst Market Dominance

Jefferies analysts suggest that Tesla should take advantage of its recent stock rally and raise equity, as its valuation has surpassed $1 trillion. This move could support Tesla's expansion into high-cost ventures like autonomous vehicles and robotics. Although Tesla has largely funded its growth internally, a significant portion of its free cash flow has come from Zero Emission Vehicle credits, which may decrease if regulations change. Jefferies raised its Tesla price target from $195 to $300, citing increased earnings projections and revenue from software and storage.