The shares of Carvana Co (NYSE: CVNA) are up 3.3% at $235.32 this morning after Jefferies initiated coverage on the online car retailer with a "buy" rating. Additionally, the firm put a $300 price target on CVNA -- about 32% above last night's close of $227.92 -- and noted that the company is operating in a "massive addressable market ripe for disruption."

Analysts were mostly optimistic toward the equity coming into today. In fact, 11 out of the 19 in question called CVNA a "buy" or better, while the remaining eight carried a tepid "hold" rating. Meanwhile, the 12-month consensus price target of $224.04 is a 5.1% discount to last night's close.

On the charts, Carvana stock just conquered a Dec. 1, third-straight record high of $252.36. However, the security has been cooling off since then, with the $240 level emerging as a potential area of resistance in the last couple of days, while the 20-day moving average remains as a source of support. Longer-term, CVNA has tacked on 156.6 % in 2020.

With short sellers already trickling out, a continued exodus could fuel additional tailwinds. Short interest is down 1.5% in the most recent reporting period. However, the 19.59 million shares sold short still account for a substantial 39.5% of the stock's available float or over two weeks' worth of pent-up buying power.