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Related tickers and likely impact
TSLA
• NeutralTesla, Inc.
Relevance: medium
| Market | US stocks |
|---|---|
| Sector | Consumer Discretionary |
| Industry | Automobile Manufacturers |
| Market cap | $1.5T |
| Close on 10/21/2026 | 386.47 |
| Change that session | +3.41% |
Impact is scored by AI from the headline and may be wrong. It is not investment advice.
Related news
- Why Tesla's lower capex plans are worrying investors
Tesla beat third-quarter earnings estimates, but the bigger surprise was spending: free cash flow came in at $1.9 billion instead of a $4.9 billion burn, and capex was around $4.7 billion versus $7.9 billion expected. Tesla now sees capex at $20 billion for the year, down from $25 billion previously, and the CFO said the company is deploying capital more efficiently and funding more spending from operations. The hosts said investors worry Tesla may be missing out on AI spending on Optimus, robotaxis and Terafab. Musk said Optimus will ship to corporate customers at the end of next year and that 2027 spending will be more normal, though spending could rise by tens of billions in 2028, while a version three promised for July has not yet appeared. Energy generation and storage revenue came in far below estimates, ending a period of strength for that business.
- TSLA Q3 Earnings Beat on Auto Margin Gains, '26 Capex View Cut
Tesla reported adjusted Q3 2026 earnings of 48 cents per share, beating the Zacks consensus of 45 cents but down from 50 cents a year earlier, with revenue of $28.05 billion roughly flat versus $28.1 billion. Deliveries fell 2% to 486,532 vehicles, yet automotive gross margin improved to 18.5% and services and other revenue rose 33% to $4.61 billion. Active paid FSD customers climbed 67% to 1.74 million, while energy revenue fell 16% to $2.88 billion despite 13.7 GWh of storage deployments. Operating income dropped 56% to $718 million as operating expenses rose 39%, and free cash flow fell 62% to $1.53 billion as capex increased to $4.73 billion. Management trimmed its 2026 capex outlook to about $20 billion from $25 billion.
- Tesla is spending less now, but the bill is coming later: Chart of the Day
Tesla cut its 2026 capital spending guidance to about $20 billion from $25 billion, after spending $4.73 billion in the quarter, about $3.2 billion less than analysts expected. The lighter spending helped it generate $1.53 billion in free cash flow, versus the nearly $5 billion cash burn Wall Street had braced for. CFO Vaibhav Taneja said capex will keep rising in coming years for robotaxis, Optimus, solar, AI compute and a semiconductor fab, and Tesla can borrow up to $30 billion but does not plan to this year. Through three quarters it has spent about $13 billion, leaving roughly $7 billion for the fourth quarter, while the Terafab chip plant with SpaceX will need tens of billions of dollars through early 2028 and likely more than $100 billion over the long term. Shares fell 2% after hours following a 3.4% gain in the regular session.
- Tesla Cuts 2026 Capex to $20 Billion, but Q4 Could Still Be Its Biggest Spending Quarter Since 2023
Tesla lowered its 2026 capex forecast to $20 billion, leaving about $6.99 billion for the fourth quarter, compared with roughly $11.99 billion under the old guidance. In the third quarter, Tesla spent $4.73 billion on capex, below the about $7.5 billion analysts expected; Reuters figures show lower spending explains about 43% of the free cash flow beat. Operating cash flow was $6.26 billion, including $2.59 billion from working capital, an inflow that can reverse when those bills come due. Management said capex will keep expanding over the next few years, while Tesla ended September with $45.45 billion in cash and investments.
- TSLA Stock Reverses After-Hours Gains As Tesla Cuts Full-Year Capex Guidance To $20B, Musk Tempers Optimus Timeline
Tesla shares reversed after-hours gains and were trading about 4% lower after the company cut its full-year capital expenditure guidance to roughly $20 billion from more than $25 billion. Revenue of $28.0 billion missed the $28.3 billion estimate, while adjusted EPS of $0.48 beat the $0.45 forecast; both declined from a year earlier. Tesla secured capacity to borrow up to $30 billion but does not plan to draw on it this calendar year, and ended Q3 with free cash flow over $1.5 billion and more than $45 billion in cash and investments. Musk said Optimus production has begun in Fremont, but reaching 20,000 units a week could take at least a year, while the company plans to bring Cybercab to Dallas next and sees a path to charging $0.30 per mile for robotaxi rides. TSLA stock has dropped 14% year-to-date.
- Tesla target lowered by analysts worried about runaway $25 billion spending
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