Elon Musk Boosts Tesla Shares with Rare $1 Billion Stock Buy: A Clear Vote of Confidence in the EV Future

Elon Musk made headlines recently by purchasing 2.57 million shares of Tesla, making it his first stock buy in the open market since February 2020. This investment, worth about $1 billion, has sparked excitement among investors, pushing Tesla’s shares up by 8% in premarket trading.

Before this, Musk bought only around 200,000 shares back in early 2020. His latest purchase is significant—not just for its size but also as a strong message of confidence in Tesla, especially after the company’s shares faced some struggles this year due to declining sales and Musk’s political activities affecting the brand’s image.

Musk currently owns around 13% of Tesla. Recently, the company proposed a new pay package for him, potentially worth up to $975 million, tied to ambitious growth goals. Analysts have mixed feelings about Tesla’s future. While some predict a potential 20% decline in stock prices, others see promise if Musk can pivot the company toward advancements in AI and robotics.

Dan Ives, a tech research expert at Wedbush, commented that Musk’s purchase signals strong confidence for investors and shows he’s highly committed to Tesla’s future, particularly in the AI space. If shareholders approve the new pay structure in November, it aims for a staggering market value of $8.5 trillion, a significant leap from Friday’s valuation of $1.3 trillion.

Overall, Musk’s big investment highlights his belief in Tesla’s direction, making waves in the stock market. As the electric vehicle landscape evolves, eyes will remain on how Tesla adapts and progresses in technology and innovation.



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