Tesla (TSLA) stock saw a dip on Thursday after the EV manufacturer saw its “Full Self-Driving” tech face yet another federal safety probe. US auto safety regulators are investigating Tesla Inc. over incidents in which its vehicles drove through red lights and violated other traffic laws while using the company’s partial-automation software.
Per the National Highway Traffic Safety Administration, there are at least 58 reported incidents involving Teslas. The regulator said it had identified six reports where a Tesla vehicle with FSD engaged “approached an intersection with a red traffic signal, continued to travel into the intersection against the red light, and was subsequently involved in a crash” with other vehicles.
Tesla (TSLA) fell 1.4% as of 8:02 a.m. pre-trading, and ended the trading day down 0.7%. Tesla has faced several dips in its stock value in 2025 for a multitude of reasons. From investor fears over Elon Musk’s priorities to failures in auto sales, Tesla has been far less reliable of an investment in 2025, only up 7.5% YTD. Additionally, Tesla faces scrutiny over CEO Musk’s proposed pay package, potentially worth $1 trillion. Despite a slight stock decline, analysts remain optimistic about Tesla’s long-term growth prospects, especially with developments in autonomous driving and robotics.
Despite the harsh regulatory space around Tesla, Notable stock bull Dan Ives believes that investors still overlook the scale of transformation taking place at the EV giant. The Wedbush analyst said the company’s push into autonomy and robotics is central to its strategy heading into 2026, and is a promising source of revenue. According to Ives, the AI and autonomous market could bring Tesla an opportunity worth at least $1 trillion. That would be a great opportunity considering the EV giant’s recent struggles with sales.