Tesla stock will fall if Musk pay deal is not approved: Analyst
Tesla (TSLA) shareholders are set to vote on CEO Elon Musk's controversial pay package. With uncertainty looming over the vote's outcome, Guggenheim Securities Automotive Equity Research Director Ronald Jewsikow joins the Morning Brief to discuss how the results could affect Tesla's stock price and operations.
Jewsikow believes shareholders will vote in favor of the pay package, saying "It's a mix of promises made and promises kept." However, he outlines a "a small win, big loss" scenario. If shareholders were to approve the package, he believes there would be minimal upside reaction in the stock. On the other hand, if shareholders were to vote against the package, Tesla stock could plummet.
Jewsikow predicts Tesla's share price could fall nearly $45 if the vote is not approved. "I think there is a considerable amount of premium for Elon Musk being engaged and developing AI in Tesla currently, just based on where we think the fundamental value of the business is," Jewsikow tells Yahoo Finance.
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Пікірлер: 18
Mulk will get the package!!! 💰
I can’t fathom how people would think this is not outrageous behavior. Why is no one talking about the engineers and management… it’s not about EM. Look deeper
It is more accurate to refer to this as a compensation package, not a pay package. The difference being that Elon Musk simply receives stock options rather than cash. Regarding those options, they have already been accounted for in Teslas valuation, so no dilution occurs. Additionally, not only does this package not cost Tesla or shareholders anything, it actually makes the company a boatload of money. In order for Elon musk to benefit from these options he must pay Tesla to convert those options to shares. That does not create any dilution, and it puts tons of money into Tesla, which did not exist previously. As a result, shareholders benefit further as Teslas piles of cash increase. Today was a great day for shareholders, and for Elon Musk and Tesla.
Vote Yes Pay package
@solar2k6
15 күн бұрын
No thanks
Under $180 already, should drop at least 10% as Tesla AGM wiped out 20 years net earnings from TSLA yesterday. Tesla is 20 year old company.
The stock already fell. The pay package didn't stop him from tanking the stock to buy Twitter.
elon is moving to ford
make american brands great again
You have to vote for Elons pay award if you are a share holder as your shares values will increase. I believe only sinister forces would vote against Elon and Tesla
It wont be approved
Sorry the opposite is true
It's a cult
@wlqpqpqlqmwnhssisjw6055
16 күн бұрын
go away
@mikafiltenborg7572
16 күн бұрын
😂😂😂😂😂😂😂😂😂😂😂😂😂😂