Tesla’s $1 Trillion Musk Package Sparks Divergent Analyst Views

Tesla's board has proposed an unprecedented $1 trillion compensation package for CEO Elon Musk, contingent on achieving audacious performance milestones over the next decade. The MOVE has cleaved Wall Street analysts into opposing camps, revealing fundamental disagreements about Tesla's valuation and execution risks.

Stifel Nicolaus maintains its bullish stance, with analyst Stephen Gengaro emphasizing that Musk's payout requires "sustained executional excellence" across autonomous driving, robotaxis, and delivery growth. The Buy rating reflects confidence in Tesla's ability to transform these ambitions into reality.

William Blair's neutral Hold rating suggests cautious optimism, interpreting the package as Musk's long-term commitment to Tesla. Analyst Jed Dorsheimer notes the plan effectively tethers Musk to the company's success, though stops short of endorsing the stock.

UBS remains the outlier, with Joseph Spak reiterating a Sell rating and $215 price target. The bearish view implies nearly 40% downside, signaling skepticism about Tesla's ability to deliver on the package's aggressive targets.