“We can’t deny some nervousness about Q1 results,” Jefferies analyst Philippe Houchois tells investors in a research note on Tesla titled “Testing demand elasticity in Q1.” The analyst has a Buy rating on the shares with a $450 price target. Tesla closed yesterday at $267.77. With the stock back to pre-second half of 2018 profit levels and near the $250 support level, negativity on the name into Q1 “looks excessive,” contends Houchois. For Q1, he expects an EBIT loss of $50M, negative free cash flow of $350M-$400M due to inventory and transit outflow, and $3B in gross cash. He also expects 52,000 Model 3 deliveries in the quarter. The analyst keeps his estimates for the year unchanged. Tesla continues to lead towards increasingly affordable battery electric vehicles, but it is too early to gauge demand elasticity as pay-back from the end of federal credits is still being digested, says the analyst.