Tesla (NASDAQ:TSLA) stock closed at $467.26, down 4.6% with trading volume reaching 105 million shares, above its three-month average. Recent regulatory actions in California against Tesla’s “Autopilot” branding caused the retreat from record highs. The S&P 500 fell 1.2% to 6,722, and the Nasdaq Composite lost 1.8% to 22,694, impacting industry peers Ford and GM.

Before today, Tesla was hitting record highs with a market cap nearing $1.7 trillion. CEO Elon Musk confirmed progress in the robotaxi business with driverless vehicle testing. However, news of a possible sales ban over the term “autopilot” dampened market enthusiasm. Investors should monitor the situation for potential court action and its impact on Tesla.

Stock Advisor’s analyst team revealed the 10 best stocks for investors to buy, offering market-crushing outperformance compared to the S&P 500. Join Stock Advisor for stock tips and insights. Jeff Santoro has no position in mentioned stocks. The Motley Fool has positions in and recommends Tesla and recommends General Motors, with returns as of December 17, 2025.

Read more at Nasdaq: Stock Market Today, Dec. 17: Tesla Shares Fall After California Moves to Restrict Autopilot Branding