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Tesla Stock (TSLA) Backed by Morgan Stanley on Physical AI Opportunity

By Ghazal Ahmed | September 18, 2025, 5:12 PM

Tesla, Inc. (NASDAQ:TSLA) is one of the AI Stocks Making Headlines This WeekOn September 16, Morgan Stanley reiterated the stock as “Overweight” and said it’s sticking with Tesla.

“Tesla is by far the smallest market cap of the Mag 7 (ex TSLA ‘Mag 6’ have an average market cap of $3.2tn), but arguably has the largest addressable markets – particularly in the emerging field of physical AI”

Tesla, Inc. (NASDAQ:TSLA) is an automotive and clean energy company that leverages advanced artificial intelligence in its autonomous driving technology and robotics initiatives.

Photo by Tesla Fans Schweiz on Unsplash

While we acknowledge the potential of TSLA as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

READ NEXT: 10 AI Stocks You Should Not Ignore and 10 Trending AI Stocks on Wall Street.

Disclosure: None.

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