Elon Musk’s Tesla Stock Purchase Is A ‘Clear Signal Of Confidence’ From The CEO, Says William Blair

Elon Musk’s Tesla stock purchase sent the shares soaring on Monday, after the EV giant’s co-founder and CEO made his first purchase of the company’s shares in the open market since 2020.

Analysts at William Blair became “more bullish” about Tesla’s prospects, according to TheFly. The firm stated in a recent note that this is a “clear signal of confidence from Musk.”

Tesla’s shares were up 6% in Monday’s midday trade. Retail sentiment on Stocktwits around the company trended in the ‘extremely bullish’ territory.

Explaining the rationale for turning more bullish on Tesla, William Blair highlighted Musk’s TSLA stock purchase, “upward momentum” for delivery expectations, and Tesla's robotaxi rollout as the reasons behind its optimism. It also noted that the markets are looking through the margin concerns for the company due to the elimination of the environmental tax credit revenue in the second half of 2025.

According to a filing with the U.S. Securities and Exchange Commission (SEC), Musk acquired the 2.57 million Tesla shares in multiple tranches on Friday, with the acquisition price ranging between $371 and $396, and the aggregate purchase valued at nearly $1 billion.

This comes at a time when Tesla’s board has proposed a $1 trillion pay package for Musk over the next decade. According to the new pay plan, while Musk will not receive a salary, he will be awarded up to 423.7 million shares of Tesla in installments when the company meets certain milestones, including an increase in earnings, vehicle deliveries, robotaxis, and humanoid robots, as stated in the company’s proposal.

On Friday, Tesla Board of Directors Chair Robyn Denholm dismissed concerns over the politics of CEO Elon Musk potentially depressing the EV giant’s sales. “From a politics perspective, obviously we’re in a democracy, so everyone gets to voice their points of view,” Denholm said, adding that Musk is back to leading Tesla “front and center.”

TSLA stock is up 4% year-to-date and 82% in the past 12 months.

Also See: Tesla, Alphabet, Intel, BitMine, Nvidia: Stocks Making The Biggest Moves Today

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