Tesla may be facing declining sales in the U.S. and Europe, but it reported a bright spot in Australia — where its electric vehicle sales rebounded to their highest level in nearly 12 months in May.

The American EV maker said Tuesday that its vehicle sales jumped to 3,897, primarily driven by record sales of its recently revamped Model Y compact sport utility vehicle. 

Australian sales of the Model Y soared 122.5% year over year, while sales of the company’s Model 3 dropped significantly. 

Total deliveries in Australia were up just 9.3% year over year but surged over 675% from April when the company sold only 500 EVs, according to data from the Australian Electric Vehicle Council. 

The EV Council is the exclusive source of Tesla and Polestar sales data in Australia after the brands exited the Federal Chamber of Automotive Industries (FCAI) last year. 

Tesla’s April sales numbers for Australia had been the company’s worst performance of the year there. Despite the May rebound, the EV makers’ total sales in Australia remains down 48.2% year-to-date compared with the same period last year.

“Tesla’s strong sales growth in Australia this May is an encouraging sign, driven almost entirely by strong demand for the updated Model Y. But globally, Tesla is still facing headwinds,” Liz Lee, associate director at technology market research firm Counterpoint Research, told CNBC.

According to Counterpoint EV Sales Tracker, she added, Tesla’s sales were down 13% year on year in the first quarter. “Thus, while the latest Australian rebound is meaningful locally, it does not yet signal a broader global recovery.”

Tesla’s global sales have suffered in recent months in light of increased competition and reputational damage related to CEO Elon Musk’s political rhetoric and activities.

For example, prior to May, Tesla’s Australia sales struggled amid reports of vandalism and protests related to Musk’s work with U.S. President Donald Trump’s administration and support for far-right parties in Europe. 

Tesla reported on Tuesday that its sales in the U.S. were down 11% in May from last year. And European industry groups on Monday noted significantly lower sales for new Tesla vehicles in Spain, Portugal, Denmark and Sweden last month.

But there have been some bright spots. Tesla posted a surprise bounce back in Norway, where the Model Y helped it post 213% more vehicles in May from a year ago. Tesla also said it hit a record breaking 1,545 sales in Turkey last month. 

That data comes after Trump hosted a press conference last week, where he announced that Elon Musk would be officially departing from his role within the federal government and White House. 

Though Trump added that Musk will stay on as an advisor, in a research note following the announcement, Wedbush’s Dan Ives said he believed that Musk’s days in politics are essentially over after the brand damage suffered by Tesla. 

The Tesla bull said Musk’s pivot back to the EV maker “was the best possible news Tesla investors could have heard,” with the rollout of its robotaxi launch expected later this month. Musk has said that Tesla has already been testing driverless Model Ys. 

In April, China’s BYD outsold Tesla in Europe for the first time, according to JATO Dynamics. The automotive giant recently announced a slew of discounts, and other Chinese automakers are following suit. In March, it was revealed that Tesla fell behind BYD in total annual sales revenue.

And according to a report from JATO Dynamics, BYD sold more pure battery EVs in Europe than Tesla for the first time ever last month in what it called a “watershed moment.” 

In May, however, Tesla was able to regain a lead against BYD in vehicle sales in Australia, with 3,897 sales compared with BYD’s 3,225, based on available data.

Its worth noting that Tesla exclusively sells battery electric vehicles, while BYD also sells hybrid cars. Battery EVs run entirely on electricity, while hybrid vehicles combine an electric battery with an internal combustion engine. 

According to data that Australia’s FCAI sent to CNBC, sales of hybrid vehicles and plug-in hybrid electric vehicles — a type of hybrid that can be charged by being plugged into an external power source — rose by about 6% and 118%, respectively, year on year in May.

“Recent sales data indicate that consumers are increasingly turning to hybrid and plug-in hybrids as many Australians want to reduce their vehicle emissions,” said Tony Weber, chief executive of the FCAI.

He added that hybrids come without the range limitations associated with battery EVs, which is a particular concern in Australia.

Amid increasing global competition and threats from hybrid vehicles, Counterpoint’s Lee said, Tesla should continue to look to high-potential regions like India, Southeast Asia and parts of Latin America.

“These markets are ramping up EV infrastructure and incentives, and Tesla could benefit by moving early, especially if it localizes production and tailors offerings to local preferences,” she said.

Tesla announced on Tuesday that it is leasing a warehouse in Mumbai that is expected to be used for vehicle servicing as part of the company’s long-anticipated India expansion. 

Tesla was up about 0.5% in trading on Tuesday and is down about 15% year-to-date.

CrowdStrike shares fell 7% in extended trading on Tuesday after the security software maker issued a weaker-than-expected revenue forecast.

Here’s how the company did against LSEG consensus:

• Earnings per share: 73 cents, adjusted vs. 65 cents expected

• Revenue: $1.10 billion vs. $1.10 billion expected

Revenue increased by nearly 20% in the fiscal first quarter, which ended on April 30, according to a statement. The company registered a net loss of $110.2 million, or 44 cents per share, compared with net income of $42.8 million, or 17 cents per share, in the same quarter last year.

Costs rose in sales and marketing as well as in research and development and administration, partly because of a broad software outage last summer.

For the current quarter, CrowdStrike called for 82 cents to 84 cents in adjusted earnings per share on $1.14 billion to $1.15 million in revenue. Analysts polled by LSEG were expecting 81 cents per share and $1.16 billion in revenue.

CrowdStrike bumped up its guidance for full-year earnings but maintained its expectation for revenue. The company now sees $3.44 to $3.56 in adjusted earnings per share, with $4.74 billion to $4.81 billion in revenue. The LSEG consensus was $3.43 per share and $4.77 billion in revenue. The earnings guidance provided in March was $3.33 to $3.45 in adjusted earnings per share.

Also on Tuesday, CrowdStrike said it had earmarked $1 billion for share buybacks.

“Today’s announced share repurchase reflects our confidence in CrowdStrike’s future and unwavering mission of stopping breaches,” CEO George Kurtz said in the statement.

As of Tuesday’s close, the stock was up 43% so far in 2025, while the S&P 500 index had gained less than 2%.

Executives will discuss the results on a conference call with analysts starting at 5 p.m. ET.

WATCH: Trade Tracker: Malcolm Ethridge buys more CrowdStrike, Palo Alto Networks, Spotify and Oracle

Nvidia passed Microsoft in market cap on Tuesday, once again becoming the most valuable publicly traded company in the world.

Shares of the artificial intelligence chipmaker rose about 3% on Tuesday to $141.40, and the stock has surged nearly 24% in the past month as Nvidia’s growth has persisted even through export control and tariff concerns.

The company now has a $3.45 trillion market cap. Microsoft closed Tuesday with a $3.44 trillion market cap.

Nvidia has been trading places with Apple and Microsoft at the top of the market cap ranks since last June. The last time Nvidia was the most-valuable company was on Jan. 24.

Nvidia and other chip named boosted markets Tuesday. Broadcom rose by 3%, and Micron Technology gained 4%. The VanEck Semiconductor ETF, which tracks a basket of chip stocks, gained 2%.

Last week, Nvidia reported 96 cents in adjusted earnings per share on $44.06 billion in sales in its fiscal first quarter. That represented 69% growth from the year-ago period, an incredible growth rate for a company as large as Nvidia.

Nvidia’s growth has been fueled by its AI chips, which are used by companies like OpenAI to develop software like ChatGPT.

Companies including Microsoft, Meta, Google, Amazon, Oracle, and xAI have been purchasing Nvidia’s AI accelerators in massive quantities to build ever-larger clusters of computers for advanced AI work.

Nvidia was founded in 1993 to produce chips for playing 3D games, but in recent years, it has taken off as scientists and researchers found that the same Nvidia chip designs that could render computer graphics were ideal for the kind of parallel processing needed for AI.