Elon Musk’s $1 Trillion Pay Vote Could Be a Game Changer for Tesla (TSLA)

At Tesla’s annual shareholder meeting on November 6, 2025, investors voted on Elon Musk’s proposed $1 trillion stock compensation package amid a backdrop of heightened investor activism and public debate, as major institutions publicly took opposing sides on the proposal. This high-profile governance event occurred as Tesla faced increased competition, declining demand in key global markets, and renewed focus on leadership and long-term strategy. We’ll examine how the polarizing shareholder vote on Musk’s pay package impacts Tesla’s investment narrative and governance outlook.

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Tesla Investment Narrative Recap

To own Tesla stock today, I believe investors need confidence in Tesla’s ability to lead and fundamentally reshape two industries, electric vehicles and autonomous driving, amid significant regulatory, competitive, and operational headwinds. The high-profile debate over Elon Musk’s $1 trillion compensation package at the annual meeting elevates corporate governance considerations, but does not materially change the immediate focus: the commercial launch and rapid scaling of robotaxi services, now widely seen as Tesla’s key short-term catalyst and core risk position. One of the most relevant recent announcements is the growing institutional divide, with some major shareholders, such as Norway’s sovereign wealth fund, publicly voicing concerns about potential share dilution and risk concentration if Musk’s package is approved. This attention on governance arrives while Tesla’s robotaxi and FSD rollouts remain in the spotlight for investors monitoring near-term execution. Yet, on the other hand, investors should be aware that increased competition and rapidly declining demand in Europe represent a risk that...

Read the full narrative on Tesla (it's free!)

Tesla's outlook projects $148.1 billion in revenue and $15.4 billion in earnings by 2028. This is based on an assumed 16.9% annual revenue growth rate and represents an earnings increase of $9.5 billion from the current $5.9 billion.

Uncover how Tesla's forecasts yield a $391.32 fair value, a 12% downside to its current price.

Exploring Other PerspectivesTSLA Community Fair Values as at Nov 2025

Over 228 members of the Simply Wall St Community value Tesla stock between US$67 and US$2,707 per share. With regulatory and competitive risks rising, this spread reflects how your expectations may differ from the market’s consensus.

Explore 228 other fair value estimates on Tesla - why the stock might be worth over 6x more than the current price!

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Build Your Own Tesla Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

A great starting point for your Tesla research is our analysis highlighting 1 key reward and 1 important warning sign that could impact your investment decision. Our free Tesla research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Tesla's overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Companies discussed in this article include TSLA.

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