UBS downgraded Tesla to Sell from Neutral with a price target of $197, up from $147. The stock’s valuation premium has widened of late on artificial intelligence enthusiasm, the analyst tells investors in a research note. The firm says that after going through the different businesses it can more substantially value, at current levels, it is still left with an over $500B “stub” for Tesla’s future growth. Even if giving that “stub” a five-year time horizon, that implies a five-year future value of $1 trillion. And this is just to justify current share levels, investors would need to see an even larger opportunity to justify a Buy rating, contends UBS. Citing the lack of visibility and the risk that Tesla’s growth opportunities materialize on a longer time horizon, or not at all, the firm downgrades the stock to Sell following the recent share rally.