Tesla, Inc. (TSLA) Capex to Exceed $25B in 2026, Says Morgan Stanley

Morgan Stanley reported that Tesla’s capital expenditure is projected to surpass $25 billion in 2026, driven by investments in autonomy and physical AI. Despite supporting Tesla’s long-term vision, the firm maintained an “Equal Weight” stance with a $415 price target, citing limited near-term stock gains due to slower monetization of projects like robotaxi and Optimus. Concurrently, Tesla plans to hire approximately 1,000 additional workers at its German Gigafactory by June to increase Model Y production by 20% starting in Q3, responding to rising vehicle demand.

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