tagName of element created by lwc:component should be computed based on the component name.
Instead it seems to be hard-coded to x-test
for an example, see https://stackblitz.com/edit/salesforce-lwc-zoz2xspw?file=src%2Fmodules%2Fy%2Fapp%2F__tests__%2Fapp.spec.js and run npm run test:unit