Tesla (NASDAQ: TSLA) has proposed a staggering $1 trillion compensation package for Elon Musk, significantly larger than his previous $56 billion deal. Musk must meet ambitious goals over the next decade, including delivering 20 million vehicles and deploying 1 million Robotaxis, to justify this request.
Morgan Stanley analyst Adam Jonas views the $1 trillion target as modest, given the massive global market opportunities, particularly in AI and robotics. He believes that even converting 1% of the U.S. workforce to robots could be worth $320 billion.
Concerns have arisen about Musk’s commitment to Tesla amid his other ventures. However, Jonas is optimistic that Musk will prioritize Tesla as it moves towards advanced AI applications. He affirms that the proposed compensation aligns with operational and profitability milestones, maintaining a buy rating with a price target of $410.
Currently, Tesla has a mixed outlook from analysts, with a hold consensus rating. Investors are advised to conduct their own analysis before making decisions.
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