NEWYORK: Tesla CEO Elon Musk has purchased about $1 billion worth of company shares, according to a U.S. Securities and Exchange Commission (SEC) filing, sparking a six percent rise in Tesla’s stock on Monday.
The filing revealed that Musk who also owns social media platform X and space exploration firm SpaceX acquired 2.57 million shares on Friday at prices ranging between $371 and $396.
This development comes in the same month Tesla unveiled a record-breaking compensation package for Musk, potentially valued at more than $1 trillion if he achieves aggressive growth targets tied to next-generation technologies.
Tesla’s board chair and Elon Musk ally Robyn Denholm has been actively defending the package in media appearances. On TV, she described Musk as a generational leader, adding:
There aren’t any other people out there like Elon who can actually lead the company over the next decade or so.
If approved, the plan could grant Musk up to 12 percent more of Tesla’s total shares, significantly boosting his stake in the company.
To unlock the full award, Tesla would need to hit a market capitalization of at least $8.5 trillion by 2035. Shareholders are expected to vote on the proposal in November.
Currently, Tesla’s market cap stands at just over $1 trillion, below its historic peak following weaker-than-expected earnings.
The company is also appealing a Delaware court ruling that earlier struck down a 2018 Musk compensation deal worth $55.8 billion.
Analysts say Tesla’s recent market turbulence has been driven not only by financial performance but also by Musk’s political stances, including support for far-right figures, which have hurt sales in major global markets.
Despite the controversies, Musk remains the world’s wealthiest individual, and his personal investments continue to shape investor confidence in Tesla’s long-term future.
