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Record deliveries a 'paradigm changer' for Tesla, stock to jump 50%, Wedbush says

An employee assists customers in a Tesla store on January 23, 2021 in Wuhan, Hubei Province, China.
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The record-setting quarterly vehicle delivery numbers Tesla reported Friday mark a "paradigm changer" for the electric car maker and for those thinking about an investment, according to Wedbush.

The brokerage upgraded Elon Musk's automaker to an outperform rating from neutral and told clients that Tesla's first-quarter delivery numbers show that the pent-up demand for its Models 3 and Y is hitting its next stage of growth.

"While the EV sector and Tesla shares have been under significant pressure so far this year, we believe the tide is turning on the Street and the 'eye popping' delivery numbers coming out of China cannot be ignored," Wedbush analyst Daniel Ives wrote.

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