Zacks Investment Ideas feature highlights: Tesla

For Immediate ReleaseChicago, IL – October 29, 2025 – Today, Zacks Investment Ideas feature highlights Tesla TSLA.The $1 Trillion Question: Will Elon’s Pay Package Pass?Shareholders will have until November 5th to vote for the current proposed pay package for Tesla CEO Elon Musk. The pay package could be valued at a staggering $1 trillion if lofty performance targets are met over the next decade. Musk’s first pay package seemed ambitious but was ultimately met. This time, the structure is similar: potential awards will be split into 12 tranches of stock, with each only unlocked only if challenging milestones are met. Below are the details of the proposed pay package.Will Tesla Shareholders Approve the Elon Musk Pay Package?There is a high degree of certainty (I would put the odds at ~90%) that the Elon Musk pay package will be approved. Below are three reasons why:1. The pay package is extremely shareholder-friendly: Shareholders are likely to vote in favor of it because Musk must meet both a market cap and operational milestone to unlock each tranche of pay. Not only are the milestones lofty goals, but Musk gets zero pay without reaching them. These incentives are constructed such that if Elon wins, shareholders win.2. Elon Musk’s Importance to Tesla: Long-time Tesla shareholders are well aware of Elon Musk’s importance to the company. Musk has led Tesla through tumultuous periods, such as the global financial crisis of 2008. Not only did Tesla survive the worst recession in a century, but it was the first automaker to repay government loans in full (with interest). More recently, Tesla shares have fallen anytime Musk has stepped away (for example, when he left to run DOGE or when he spent time running Twitter). With Tesla shares up more than 35,000% under Musk’s leadership, shareholders will not want to risk Musk walking away from the company.3. Shareholder Loyalty and Board Backing: Elon Musk has a very loyal following among the shareholder base. History suggests that these loyal shareholders will vote in favor of Musk’s pay package. Last time, shareholders overwhelmingly voted in favor of a Musk pay package (With Musk receiving 72% of the vote). Meanwhile, Musk enjoys the full backing of Tesla board chair Robyn Denholm. Finally, influential Tesla investors like Cathie Wood have already announced that they will back the pay package.In conclusion, though eccentric and sometimes controversial, Elon Musk is America’s most decorated innovator. While the pay package seems high on a dollar basis, it aligns shareholder and Musk’s incentives, creating a win-win situation. For these reasons, it’s good corporate governance. I believe the vote will pass by a wide margin, and TSLA shares will rally as a result.Free: Instant Access to Zacks' Market-Crushing StrategiesSince 2000, our top stock-picking strategies have blown away the S&P's +7.7% average gain per year. Amazingly, they soared with average gains of +48.4%, +50.2% and +56.7% per year.Today you can tap into those powerful strategies – and the high-potential stocks they uncover – free. No strings attached.Get all the details here >>Media ContactZacks Investment Research800-767-3771 ext. 9339support@zacks.comhttps://www.zacks.comPast performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.#1 Semiconductor Stock to Buy (Not NVDA)The incredible demand for data is fueling the market's next digital gold rush. 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