) stock popped nearly 10% on Monday as a prominent Wall Street analyst stirred up excitement about the artificial intelligence prospects for the electric vehicle maker.
"Investors have long debated whether Tesla is an auto company or a tech company," Jonas wrote. "We believe it's both, but see the biggest value driver from here being software and services revenue. The same forces that have driven AWS to reach 70% of AMZN total EBIT can work at Tesla, in our view, opening up new addressable markets that extend well beyond selling vehicles at a fixed price.""wake up" from the AI-fueled dream.
"Dojo is the key to unlocking Tesla's double-flywheel effect – integrating and accelerating the synergies between Tesla's Core Auto Flywheel and Tesla's SAAS Flywheel ... accelerating time to market and expanding the addressable market," Jonas wrote.on Nvidia for its chips, and it can't access as many as it wold like due to high demand. Jonas write that Tesla thinks it can "develop a more efficient system" without Nvidia instead.