Tesla Stocks Skyrocket as Musk Invests a Record $1 Billion
Tesla shares experienced a surge of over 3% following a rare and significant move by CEO Elon Musk. Musk invested a whopping $1 billion into his own company, demonstrating his unwavering belief in the future success of the electric vehicle giant. This marks the largest stock purchase by Musk in terms of value, and his first substantial acquisition since February 2020, when he bought shares worth approximately $10 million.
The timing of this purchase is noteworthy as Tesla is on the verge of proposing a new compensation package for Musk. This package could potentially be worth up to $975 billion, contingent upon the achievement of ambitious performance milestones.
Despite facing a series of challenges recently, including a slump in sales partly due to Musk’s political activities and the termination of certain EV incentives during the Trump administration, Tesla’s stock has seen a rally. Over the past three months, it has risen by over 25%, although it remains slightly negative for 2025.
Source: CNBC