Tesla Proposes Massive Stock Award for Elon Musk Tied to Ambitious $8.5 Trillion Valuation Target

Tesla's board has proposed a landmark compensation package for CEO Elon Musk that could reshape corporate governance norms. Shareholders will vote in November on granting 423 million additional shares to Musk, potentially increasing his stake to 25% of the company.

The audacious performance targets require Tesla to achieve a $8.5 trillion market capitalization - nearly eight times its current valuation - by 2035. Operational benchmarks include delivering 20 million vehicles, deploying 1 million robotaxis, and circulating 1 million Optimus robots.

Wedbush analyst Daniel Ives called the proposal "a critical step" in retaining Musk's leadership. The package WOULD vest in tranches as Tesla hits predetermined milestones, creating what could become the largest performance-based executive compensation in corporate history.