Elon Musk’s $56B Tesla pay package gets no support from Norway wealth fund
How much of Tesla's stock does the Norway wealth fund hold, and what is its value?
The Norway wealth fund holds 0.98% of Tesla's stock, which is worth $7.7 billion.
What specific concerns does the Norway wealth fund have regarding Elon Musk's $56 billion pay package?
The Norway wealth fund has expressed concerns about Elon Musk's $56 billion pay package, specifically:
- The total size of the award: The fund believes that the amount of the pay package is too large.
- The structure given performance triggers: The fund has concerns about the structure of the pay package, which is tied to certain performance triggers.
- Dilution: The fund is worried about the potential dilution of shares resulting from the pay package.
- The lack of mitigation of a key person risk: The fund is concerned that there is no plan in place to mitigate the risk associated with having a single key person (Elon Musk) driving the company's success.
What are the potential future financial projections for Tesla according to billionaire Ron Baron?
Billionaire investor Ron Baron has made a bullish prediction about Tesla's future, stating that he believes the electric vehicle maker could reach a market valuation of $4 trillion within the next 15 years6. Baron's private investment firm holds nearly 1.8 million Tesla shares, making it one of the largest institutional investors in the automaker. Despite Tesla's volatile stock price this year, Baron remains highly confident in its long-term growth prospects under CEO Elon Musk2. He pointed towards Tesla's software, autonomy, and energy storage divisions as major opportunities beyond just electric vehicles. Baron also sees SpaceX playing a huge role in the future, stating that it could be even bigger than Tesla in the 2030s.