Funding agency Gerber Kawasaki‘s co-founder Ross Gerber thinks that Tesla Inc. (NASDAQ:TSLA) CEO Elon Musk‘s new trillion-dollar pay package deal may invite lawsuits within the close to future.
Take a look at the present value of TSLA right here.
Elon Musk’s Pay Package deal Is ‘Madness,’ Says Ross Gerber
Taking to the social media platform X on Tuesday, the investor criticized the brand new pay package deal for Musk. “Clearly the pay package deal factor is madness. Did anybody on the BOD [Board of Directors] truly negotiate with Elon? I doubt it,” Gerber stated within the publish. He additionally added that this pay package deal may open doorways to extra “litigation if it passes.”
Gerber then questioned Musk’s affect over Tesla’s Board. “The tesla BOD continues to be not “unbiased” from Elon… one other mess coming,” he stated.
It is value noting that lately, proxy advisory agency Worldwide Shareholder Providers (ISS) opposed Musk’s new pay package deal. For context, the ISS offers shareholders with recommendation on firm votes.
Regardless of ISS opposition, ARK Make investments‘s CEO Cathie Wooden reiterated her assist for Musk’s new compensation package deal. Wedbush Securities‘ investor and Tesla Bull Dan Ives additionally predicted that Musk’s pay package deal would cross the vote and be authorized throughout November’s shareholder assembly.
FSD’s ‘Come To Jesus’ Second, Declining EV Gross sales
In one other publish on X on Tuesday, Gerber additionally shared his ideas on the upcoming Q3 earnings name on Wednesday. “We count on numerous ‘future’ speak to attempt to get traders to concentrate on Cabs and robots in order not to take a look at the deteriorating EV enterprise,” Gerber stated, highlighting Tesla’s poor gross sales this 12 months.
On Full Self-Driving, Gerber predicted {that a} “come to Jesus” second for the know-how was coming quickly. “In the event that they don’t get to stage 4-5 this 12 months then what?” Gerber requested.
Tesla’s FSD system has been within the Nationwide Freeway Visitors Security Administration’s (NHTSA) radar, with the regulator investigating a number of incidents of site visitors violations in addition to stories of accidents involving autos on the FSD system. The investigation impacts over 2.88 million Tesla autos.
Elon Musk Defends CEO Position
The feedback come as Musk defended his position because the CEO of Tesla, outlining that Tesla was value greater than all of its rivals within the trade. Tesla’s market capitalization presently stands near $1.4 trillion.
Its three greatest rivals by market capitalization, Toyota Motor Corp (NYSE:TM), Xiaomi Corp (OTC:XIACF) (OTC:XIACY) and BYD Co. Ltd. (OTC:BYDDY) (OTC:BYDDF) have a mixed market cap of near $540 billion.
Tesla scores properly on Momentum, High quality and Development metrics, however provides poor Worth. Tesla additionally provides a positive value pattern within the Quick, Medium and Long run. For extra such insights, join Benzinga Edge Inventory Rankings as we speak!
Take a look at extra of Benzinga’s Future Of Mobility protection by following this hyperlink.
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