Why Tesla stock is making a comeback on Tuesday after Monday's fall

Group 1: Tesla's Stock Performance and FSD Development - Tesla's stock increased by 1.5% to $446.35, outperforming the S&P 500 and Dow Jones, which gained 0.1% and 0.2% respectively, due to optimism surrounding its Full Self-Driving (FSD) progress [1] - Analyst Alexander Potter noted that Tesla is nearing unsupervised FSD, with significant improvements in key performance metrics, particularly "miles to critical disengagement," which improved over 20 times from 441 miles to over 9,200 miles after the release of FSD v14.1.x [2] - The data from Austin suggests that FSD-equipped vehicles can travel approximately 40,000 miles between crashes, indicating a potential for a Tesla vehicle to go around three years without a crash [3] Group 2: Global Sales Performance - Tesla's global sales data shows mixed results, with VinFast selling 291 electric cars in India in November 2025, compared to Tesla's 48 units, highlighting VinFast's rapid market entry [5] - Tata Motors remains the leading EV manufacturer in India, delivering 6,153 units in the same month, significantly outpacing Tesla [6] - In China, Tesla sold just over 73,000 vehicles in November, a decline of nearly 1% year-over-year, with total sales in the country reaching about 537,000 vehicles through November [6][7] Group 3: Sales Projections and Valuation - To avoid its first annual sales decline in China, Tesla would need to deliver 120,000 vehicles in December, a target considered unlikely given the Shanghai factory's peak monthly production capacity of about 100,000 units [7] - Tesla shares are trading at high valuation multiples, approximately 205 times estimated earnings for the next 12 months, compared to around 120 times a year ago [8]