Tesla Narrative Shifting to Physical AI Leadership, Oppenheimer Says
Tesla's (TSLA) narrative has shifted to physical AI leadership, with investors increasingly focused on its ability to bring power capacity to market and accelerate learning cycles for the platform, Oppenheimer said in a note Thursday."We anticipate investors will begin looking at capital investments as a leading indicator of Physical AI success," the report said.The report updated its 2026 and 2027 capital expenditure estimates to $29.4 billion and $30.4 billion, from $26.4 billion and $26.9 billion, respectively, as expectations for data center and semiconductor spending are raised.These changes are partly offset by a $2.5 billion increase in the value of its SpaceX (SPCX) position, the note added.The note said its 2026 capex estimate is 25% above market expectations, suggesting an upward trading bias into Q2 results.Oppenheimer kept its perform rating on Tesla.Price: $396.10, Change: $-0.28, Percent Change: -0.07%