New York, February 25, 2026, 16:01 EST — After-hours.
- Tesla shares closed up about 1.6% at $415.94, after trading between $412.15 and $420.34.
- A U.S. judge let a hiring-bias lawsuit against Tesla proceed, though he voiced skepticism.
- California DMV litigation and Nvidia’s earnings after the bell kept focus on autonomy and AI-linked megacaps.
Tesla Inc (TSLA.O) shares rose about 1.6% to close at $415.94 on Wednesday, after moving between $412.15 and $420.34. The stock ended higher as investors weighed fresh legal headlines and a broader tech bounce into the close. (Yahoo Finance)
The move matters because Tesla is trading as much like a high-beta AI stock as an automaker, and the big-tech complex has looked shaky in early 2026. Nvidia’s results after the bell are “the linchpin of the Mag Seven,” said Chuck Carlson, chief executive officer at Horizon Investment Services. (Reuters)
Wall Street’s mood improved on Wednesday, with the Nasdaq up 1.1% as tariff worries cooled and investors leaned back into technology. “AI is the dominant theme,” said Aaron Schaechterle, a portfolio manager at Janus Henderson Investors, underscoring how long-dated bets can overwhelm near-term car demand data. (Reuters)
On Tuesday, a U.S. judge in San Francisco refused to dismiss a proposed class action accusing Tesla of discriminating against U.S. citizens in hiring so it can pay less to foreign workers. Judge Vince Chhabria wrote he was “somewhat skeptical” but said the lead plaintiff offered “just enough facts” for the case to proceed; Tesla has called the claims “preposterous” in court filings. (Reuters)
Tesla also filed a lawsuit against California’s Department of Motor Vehicles seeking to overturn a ruling that it used deceptive marketing to overstate automated driving capabilities, TechCrunch reported. The DMV said last week it would not suspend Tesla’s dealer and manufacturer licenses after Tesla stopped using the term “Autopilot” in marketing materials in the state. (TechCrunch)
The company has been trying to keep demand humming with cheaper variants, including a new all-wheel-drive Model Y in the United States priced at $41,990. The shift toward lower-priced trims comes after the Trump administration ended the $7,500 federal EV tax credit and analysts warned the pricing strategy could squeeze margins. (Reuters)
But Tesla’s driver-assistance branding and safety record remain an open flank. A U.S. judge earlier this month upheld a $243 million verdict against Tesla over a fatal 2019 crash involving Autopilot, and Tesla said it would appeal. (Reuters)
Traders now look to Nvidia’s earnings and outlook for the next pulse in megacap tech, which has often dictated Tesla’s day-to-day tape. The market’s first read comes Thursday, when investors also start parsing whether Tesla’s court fights are noise or something that sticks. (Investopedia)
