Tesla board links 'the future of Tesla' to Elon Musk's ridiculous compensation

I link my diarrhoea to excessive burrito diet.

They really belive that a ceo can fix technical problems and deliver products where their best engineers failed for 10 years now?

Yes! Because...reasons!

No, but they most likely believe that Musk has a cult following and as long as they have him they'll keep getting richer. The goal is to not solve problems, it's to pump as long as you can and then retire.

No. They believe the product is the stock and he's great at pumping that. How are they supposed to get exit liquidity without fElon?

This is just going to all fall apart any day.

Anyday. But until then they'll keep making $$$ doing it.

It's about the stock... if people keep buying and he keeps putting money into it, there's no reason it won't go down until there's a rug pull. People can absolutely be invested in makebelieve. It's not like the stats are lying about value vs fundamentals. The stats are there but investors just dont care . It's messed up

So much ponzi.

He should owe a trillion if he doesn’t make it

Well, it’s probably true, in the Macbeth’s Prophecy way…

Elon is pumping his stock on the side. He has been caught manipulating the market before and the consequences were pretty minor at the time. With the present administration it is unlikely he will even get a slap on the wrist.  His pay isn’t for running Tesla, it’s for doing all the illegal stuff he was already doing. It’s for interfering in elections in other countries and getting government contracts. It’s for whatever corruption it takes to get business done in China. It’s for using whatever info was stolen by DOGE to profit from. Elon has shown that he is willing to break laws and interfere with elections and this is just the board saying they approve of his business dealings.  The share dilution this will cause is hilarious. No normal company would ever allow this. They are basically paying him almost 15% of the company if he meets the requirements for the full pay. The actual pay is hidden in there and still probably 250 billion to 500 billion.

no, they're betting he can sell vaporware to retail investors

Denholm is tying herself in knots trying to justify this farcical pay structure. She has personally benefited to the tune of $100M from the grift. This is no more than Ponzi scheme that the insiders (including the board) want to profit from.

Exactly. Most corporations now that is exactly how they have been taught to operate. The stock is the product. They are taught that they are making widgets and that the same methods of leadership work for all widgets.

Yeah, nah, they are correctly assessing that the meme stock frenzy is from Elon fanboys.

How to keep pumping billions from the working class to a meme company: Talk fast, promise the impossible...Profit!

But why? It has zero true value!

Exactly.

The smart move for her would be to fade back into obscurity with her ill-gotten gains 'for personal reasons' before the collapse. I think she may have left it too late though.

So like all he's going to do is cram other companies into Tesla, right? Starting with Xai and SpaceX.

Is she sitting in a chair or does she just have two rods holding her legs together?

What are the first few milestones?

cybertruck shows they have terrible quality control especially on a flagship product i wouldn't trust anything from telsa today, they were better in the past when elon let his engineers do their job but there success went to his elon head and thinks he can do better.

That's a real banger summary image. Another Fred classic. The idea that any single employee of a company is worth *this* much times any other employee is just ludicrous. Especially this specific employee.

Translation: how do you expect us to perpetuate our massive stock fraud, which benefits us all, if we don't make up fairy stories?

The Tesla board are all handpicked musk suck-ups.

Yes. If his 200 something billion current standing in the company isn't enough to keep him motivated why would another trillion?

Also anyone who knows better or would tell him no has probably left for greener pastures.

Because he's the most special little boy in the world.

all of the compensation triggers require delivery on fundamentals, not just stock price, just FYI.. EBITDA profit, units of product sold etc

Yes I know. And he gets paid for each goal he meets etc. We shall see how it pans out

Last time they did this you can look up all the press laughing at the absurdity of it the goals that were set, he hit every metric that's why they are doing it again... would be nice if all CEOs were only paid for delivering agreed results to employees and shareholders.

Okay cool

Here's TSLA's problem: If a sane person attempts to value TSLA as it currently is--a car company that sells batteries on the side--they're going to be very hard pressed to come up with a valuation over $100. The company is currently trading at $410, meaning that the vast bulk of the company's value is tied up in the perception of stockholders that musk is a genius and will soon lead us into a glorious future of robotaxis and coke getting robots. Which means that they HAVE to keep the idiot around; if they don't, if Musk leaves or spends most of his time elsewhere, it'll likely trigger a massive price collapse.

Yes, but the metrics are very easy to hit, at least for the first tranche. If the stock price increase at the rate of inflation plus about 2% and vehicle sales are flat, he will easily hit the first tranche. That's $90 billion payday for not much performance.

the 2018 plan was perfectly timed for the planned Model 3 & Y ramps, 2021-22 COVID recovery and 2022 gas price shock following the Russian invasion of Ukraine. TSLA's EBITDA is now $3B lower than the last tranche he won (@ $14B), he should be disgorging tranches 8–12 back to the shareholders LOL

One group of people who were not laughing was the board of directors. One reason the chancellor ruled again the compensation package is because internal documents showed that the board knew the company was already on track to hit many of the metrics. I thought your comment about CEO pay was interesting. Sergey Brin and Larry Page took $1 annual salaries and no stock grants. Zuckerberg still has a $1 dollar salary and no stock grants. Bezos and Gates had salaries on the order of $100,000/year and no stock grants. All of those founder created by far more value for shareholders than Musk at an infinitesimally smaller cost. I wonder if the board should be asking if they can find somebody cheaper.

According to Wikipedia she's cashed out more than 500M worth of stock of the more than 600M she's been given

Take a look at their PE ratio. fElons bravado combined with bs from certain analysts is the only thing holding up their stock.

Shouldn’t an admission that the value of their $1.3tr company all depends on one guy cause a serious drop in value? He could be run over tomorrow.

The whole deal is so he can’t quit for two years. So they can all slowly dump shares, instead of all at once, and crash the value. Tesla is a dying brand. They know it. All they have it the Muskstans propping it up.

In a reasonable world, yes. But in a reasonable world 2 years of declining sales and revenue would also cause the stock to drop.

I wonder if he borrows money from this Tesla holdings, uses it to buy more Tesla stock, pumping it to higher levels and allowing him to borrow more, until he hits his targets?

I wouldn't put it past him. He's love some stock manipulation.

> In an interview with Bloomberg, Denholm claimed that Musk is the only one who can execute Tesla’s mission. Replace "only one who can" with "only one who thinks he can" and it becomes quite believable. It’s hard to recruit a captain for a sinking ship.

Proof?

if that is all that remains of the company and the only way to keep the bubble is via extortion (for as a car brand it is dead) what does that mean for why the meme stock exists? yes.