Tesla CEO Buys $10B in Stock, Boosts Price by 6%

In a surprising move, the CEO of Tesla acquired approximately 2.57 million shares of the company's stock, valued at around 10 billion dollars. This acquisition, which marks the first time the CEO has purchased Tesla shares on the open market since February 2020, has injected a significant boost of confidence into the electric vehicle manufacturer, which has been facing challenges in 2025.

The purchase was made at various prices over the course of last Friday. Following the announcement, Tesla's stock price surged by nearly 6% on Monday. This development comes as the company has been grappling with a series of hurdles, including political controversies and market volatility.

Analysts have interpreted this move as a clear signal of confidence from the CEO. The acquisition, coupled with positive delivery expectations and the impending launch of autonomous driving services, has further bolstered optimism surrounding Tesla. The company has also announced a new compensation plan for the CEO, valued at up to 9750 billion dollars, which is subject to shareholder approval.

Despite the recent stock price increase, Tesla's performance for the year remains lackluster, with a cumulative gain of only about 5%. This pales in comparison to the broader market and other technology companies in the same sector. The company is also facing scrutiny over its political activities, which some believe have negatively impacted its brand image and sales.

In response to the CEO's acquisition, market analysts have noted that this move underscores the CEO's commitment to Tesla's artificial intelligence initiatives. The purchase has also been seen as a vote of confidence in the company's future prospects, particularly in light of the upcoming launch of its autonomous driving services.

Overall, the CEO's decision to acquire a significant stake in Tesla has provided a much-needed boost to the company's stock price and investor sentiment. As Tesla continues to navigate the challenges of 2025, this move serves as a reminder of the CEO's unwavering commitment to the company's long-term success.