Stock Valuation
ISS advises against approving Elon Musk's Tesla pay package
Iniulat ng AI Larawang ginawa ng AI
Institutional Shareholder Services (ISS) has recommended that Tesla investors reject CEO Elon Musk's $1 trillion compensation package due to concerns over its structure and Musk's divided focus. This advice comes amid growing analyst skepticism about Tesla's high valuation, with some forecasting up to 30% downside in the stock price. The recommendation highlights tensions in Tesla's governance as the company faces competitive pressures in the electric vehicle market.
Tesla is set to report its fourth-quarter electric vehicle deliveries on or around January 2, capping a second year of declining sales amid fierce competition. Despite a 25% stock rise in 2025, the company's high valuation raises doubts about its investment appeal. Investors are eyeing future products like the Cybercab and Optimus, but near-term challenges dominate.
Iniulat ng AI
Building on last week's rebound from sales slump lows, Tesla shares have risen 19% in the past month to $481.20, up 27% year-to-date and 291% over three years. Analysts see fair value at $425.37 but highlight growth in EVs, autonomy, and robotics.