Tesla (NASDAQ: TSLA) investors will have to start discussing cash flow forecasts pretty soon. While robotaxis, Optimus robots, and unsupervised full self-driving (FSD) are far more exciting than poring over spreadsheets to estimate the relationship between Tesla’s cash reserves, capital spending requirements, and operating cash flow, the reality is that the investment case rests on the former’s influence on the latter.
CEO Elon Musk has big ambitions, and he’s backing them by pushing an aggressive ramp-up in capital expenditures for Tesla.
Image source: Tesla.