Tesla Shares Drop Amid Musk’s Multibillion-Dollar Pay Plan Uncertainty
Tesla Inc. shares fell 2.86% as investors weighed the implications of Elon Musk's revised compensation package. The plan, tied to ambitious targets in vehicle sales, robotics, and autonomous driving, could yield Musk up to $50 billion over the next decade.
Market analysts note the plan's flexibility, with some milestones broadly defined. Two achievable product targets alone could unlock $26 billion in stock awards for Musk, independent of profitability metrics. This structure continues to draw scrutiny from investors and regulators alike.
The electric vehicle maker's performance comes amid broader industry shifts. Advancements in ADAS subscriptions and EV adoption are reshaping regulatory landscapes and revenue opportunities across the automotive sector.
