Capitalizing on its current high stock price and substantial market value, Tesla has filed plans to offer $5 billion in shares following recent record-breaking investor activity.

The announcement of this new share offering, which will dilute existing holdings, has resulted in a limited decrease in the company’s valuation, with a current pre-market decline of 2.3% as investors assess the implications. With a market capitalization of $608 billion, this stock sale represents a fraction – less than 1% – of Tesla’s overall worth.

According to a Tuesday filing with the U.S. Securities and Exchange Commission, Tesla is collaborating with a group of financial institutions including Goldman Sachs, Citigroup, Barclays, BNP Paribas, BofA, Credit Suisse, Deutsche Bank, Morgan Stanley, SG Americas Securities, and Wells Fargo. The filing also indicates that Tesla intends to sell these shares periodically and at prevailing market rates. Tesla will compensate these banks with a commission of up to 0.25% of the total gross proceeds from the share sales, capped at a maximum of $12.5 million.

This isn't the first time Tesla has sought capital through share offerings. The company previously announced a similar plan in September to sell up to $5 billion in shares over time, as detailed in an SEC filing.

Tesla concluded the third quarter with $2.4 billion in operating cash flow and nearly $1.4 billion in free cash flow. The company finished the September quarter holding a significant $14.5 billion in cash and equivalents, suggesting this share sale is more about leveraging favorable market conditions than addressing immediate financial needs. However, it’s important to consider Tesla’s numerous large-scale construction projects, including new facilities in Berlin and near Austin, as well as the increase in its operating expenses. Tesla’s operating costs for the third quarter reached $1.25 billion, a 34% increase compared to $930 million during the same period last year.

Tesla’s stock has traded as low as $67.02 over the past 52 weeks, according to Google Finance. It reached a 52-week high of $648.79 yesterday, making this an opportune moment to realize profits.