Tesla bull Dan Ives recently requested the company’s board to consider a new pay package for CEO Elon Musk. Amidst the declining Tesla’s stock price, the Wedbush Securities analyst shared a post on X (formerly Twitter) where he said that Tesla board of directors needs to take three steps: “new pay package” for CEO, “guardrails for amount of time Musk spends at Tesla” and “oversight on political endeavors”. The post caught Musk’s attention who responded sharply to Ives. Replying to the post, Musk wrote: “Shut up, Dan”.
Here’s what Tesla Bull Dan Ives said about Elon Musk
In the post, Ives wrote:
Tesla Board of Directions…take the following 3 steps in our view
1. New pay package getting Musk to 25% voting control. Clears a path for xAI merger.
2. Guardrails established for amount of time Musk spends at Tesla as part of pay package
3. Oversight on political endeavors
In an email to CNBC, Ives said, “Elon has his opinion and I get it, but we stand by what the right course of action is for the Board.”
Tesla loses $68 billion in a single day
After Elon Musk announced to form ‘America Party‘, Tesla shares declined by nearly 7% on Monday (July 7), losing more than $68 billion in market cap in a single day. The tech billionaire’s role in politics has made some investors uneasy. Earlier this year, he played a key part in the Department of Government Efficiency (DOGE) and worked closely with President Donald Trump — a move some feared could damage Tesla’s image. Elon Musk stepped away from the task force in May, which gave Tesla’s stock a boost. With him getting involved in politics again, investors are starting to worry once more.One of the three requests – new pay package for Tesla CEO Elon Musk has been a long standing point of contention between Musk and the EV company. It all started with a 2018 stock award. His compensation package then included 304 million stock options. It was a performance-based deal, meaning Musk would receive stock options based on Tesla’s stock price and performance meeting specific targets. The CEO became eligible to exercise all the options in 2023 after meeting a series of aggressive valuation and financial performance goals set by the company. However, in January 2024, Delaware judge Kathaleen McCormick cancelled the deal, saying the amount was too large and that Tesla’s board members were too influenced by Musk. She said they acted “like supine servants of an overweening master.”In early 2024 during the court ruling, these options were worth about $56 billion, later peaking at $146 billion in December and currently standing at around $98 billion based on Tesla’s share price.
About The Author
