On Feb. 13, analysts at Wells Fargo reiterated an “Underweight” rating on Tesla stock, citing weak delivery checks while remaining bullish on the company’s long-term prospects tied to AI projects. The firm said delivery numbers remain soft, supporting a cautious near-term view.
Late last month, Tesla said it would end production of the Model S and Model X at its Fremont factory to convert the lines for Optimus humanoid robot manufacturing. The announcement coincided with a 3% year-over-year revenue decline and an 11% drop in automotive revenue (Ed. note: this marks Tesla’s first-ever annual sales decline).
CEO Elon Musk updated the company mission toward “amazing abundance” and a focus on AI-driven outcomes. Musk’s emphasis on integrating xAI and SpaceX activities has prompted mixed reactions about Tesla’s strategic direction.
Analysts opened the year with mixed views on Tesla stock, and the shares are down about 7.5% year-to-date amid weak sales and the AI pivot. Some on Wall Street now see Tesla’s physical AI strategy as a multi-layered, multi-year growth driver.
Entering Tuesday, Tesla rolled out the Grok AI Assistant to the UK and European markets via software update 2026.2.6. The free update reached eligible vehicles running on AMD Ryzen processors, but the stock was still down roughly 2.9% at press time.
