Stock Market Today, Dec. 17: Tesla Shares Fall After California Moves to Restrict Autopilot Branding
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By Jeff Santoro – Dec 17, 2025 at 5:07PM ESTNASDAQ: TSLATeslaMarket Cap$1.6TToday's Changeangle-down(-4.62%) $22.62Current Price$467.26Price as of December 17, 2025 at 4:00 PM ETRegulators are challenging Tesla’s self-driving claims, putting its AI and robotaxi ambitions under renewed scrutiny, today, Dec. 17, 2025.ExpandNASDAQ: TSLATeslaToday's Change(-4.62%) $-22.62Current Price$467.26Key Data PointsMarket Cap$1.6TDay's Range$466.20 - $495.2852wk Range$214.25 - $495.28Volume106MAvg Vol86MGross Margin17.01%Tesla (TSLA 4.62%) is a leading manufacturer and supplier of electric vehicles and energy storage solutions, with numerous future projects planned, including autonomous robotaxis and robotics. Trading volume reached 105 million shares, coming in nearly 22% above its three-month average of 85 million shares. The stock closed at $467.26, down 4.6% on the day.Wednesday’s trading saw Tesla retreat from recent record highs after California’s DMV actions against its “Autopilot” branding raised fresh regulatory questions that investors are watching. How the markets moved todayThe S&P 500 (^GSPC 1.16%) fell 1.2% to 6,722, while the Nasdaq Composite (^IXIC 1.81%) lost 1.8% to finish at 22,694. Within the automotive space, industry peers Ford Motor Company (F 2.67%) and General Motors (GM 1.53%) declined 2.6% and 1.5%, respectively, as investors weighed legacy automakers’ EV strategies against Tesla’s AI and robotaxi focus.What this means for investorsBefore today's news, Tesla had been having a good week, with shares hitting record highs and the company's market cap approaching $1.7 trillion. CEO Elon Musk also weighed in on Tesla's robotaxi efforts, confirming the company was testing driverless vehicles without safety monitors. This represents progress for the robotaxi business.However, the news today of a possible sales ban over Tesla's use of the term "autopilot" has dampened some of the market's enthusiasm from earlier in the week. The California DMV initially brought action against Tesla in 2023 over the Autopilot name, but the two parties were unable to come to a resolution. Investors should keep an eye on this, as possible court action may result from the threatened sales suspension.About the AuthorJeff Santoro is a contributing Motley Fool stock market analyst covering technology and consumer goods. In addition to his work with The Motley Fool, he is co-host of the Investing Unscripted podcast and serves as a public school administrator. Jeff holds both bachelor’s and master’s degrees in music education from Rutgers University.TMFMktmusicianX@marketmusicianRead NextDec 17, 2025 •By Daniel MillerA Surprising Automaker Aims to Challenge Tesla -- Is It a Real Threat or Just Noise?Dec 17, 2025 •By Lawrence NgaTesla's 2025 Was a Turning Point. Here Are 3 Things Investors Should Know.Dec 16, 2025 •By Lawrence NgaTesla's EV Business Isn't the Star Anymore -- but It's Still the Whole StageDec 16, 2025 •By Neil PatelIs It Too Late to Buy Tesla Stock?Dec 15, 2025 •By Lawrence Rothman, CFAIf You Had Invested $5,000 in Tesla Stock 1 Year Ago, Here's How Much You Would Have TodayDec 15, 2025 •By Howard SmithWhy Tesla Stock Hit an All-Time High Today