Tesla's stock price breaks through historical highs; can it continue to write its legend in the future?

Tesla (TSLA.O) stock price has finally refreshed its historical high after 1,133 days. On Wednesday, Tesla's stock closed at $424.77, surpassing the adjusted historical high of $409.97 set on November 4, 2021. The intraday high on that day reached $424.88, also exceeding the previous intraday high of $414.50 set earlier that same day. This wave of increase has astonished investors and Wall Street. Since the election on November 5, Tesla's stock price has risen by about 69%, equivalent to an increase of $173 per share, with the company's market value increasing by approximately $555 billion. At the same time, Wall Street analysts have also raised their average target price by about $40, clearly trying to catch up with this surge. Tesla's market value currently exceeds $1.3 trillion, more than $100 billion higher than the peak in 2021. (Tesla's market value surpassed the 2021 peak on Tuesday. The number of shares outstanding is about 150 million more than at that time.) These figures are astonishing, but the following data is not so optimistic. In the year following the 2021 peak, Tesla's stock price performed poorly. Three months later, the stock price fell from about $410 to $291, a decline of about 28%. A year later, the stock price further dropped to $207, a decline of nearly 50%. This is indeed concerning, but there are other indicators worth referencing. Currently, Tesla's stock price is about 125 times the expected earnings for 2025