With Tesla set to report its first quarter earnings, the world is bracing for a monumental moment in history – one that might just see Elon Musk receive a staggering $720 million USD payday.
In recent months, Tesla has suffered a number of setbacks and minor blips. But amazingly, the company continues to bounce back with regularity, as though each blunder serves only to generate more hype around their products and the CEO behind it all – Elon Musk. Few could forget the infamous unveiling of the Tesla Cybertruck, which promised windows that couldn’t be shattered – only for the truck’s windows to shatter into tiny pieces during its unveiling that was live-streamed. But remarkably, sales for the truck increased and Musk could only flaunt the news on his Twitter page.
Consequently, few found it surprising that in January Tesla announced it was likely to nail every goal required to see Musk unlock the first tier of an incredibly generous pay package. The required objectives stipulate that Tesla needs to reach a $100 billion value and hold that for a one-month and six-month long average. Already, Tesla has done just that and today, the company is just shy of the six-month average figure with a current estimate of $96 billion USD, according to reports from Reuters.
Should they reach the goal, it will generate a seriously monumental payday for Musk. Serving as CEO of the company, it should be noted that Musk doesn’t receive a salary or bonuses, but he does get a massive stock option should Tesla deliver said targets. As Cnet reports, “The $720 million payout would be in the form of a stock purchase. If Tesla meets the first targets listed, the automaker’s boss will be eligible to purchase 1.69 million shares of the company at $350.02.”
With Tesla’s current stock costing around $778 per share, it equates to a profit of over $720 million for Musk. And while this figure is certainly open to fluctuations depending on what price Musk chooses to sell his shares, those in the finance world are bracing themselves for history to be made as Musk seems likely to land himself a large sum of money.
Currently valued as the 31st richest person in the world, Musk currently has a net worth of $39 billion, according to estimates from Forbes. And while he still has a way to go before reaching the kind of wealth as someone like Jeff Bezos, news of what could be his soon-to-be income will likely see him smiling through COVID-19 lockdown.