Elon Musk buys $1 Billion Tesla shares, stock rises 6%

Tesla CEO Elon Musk has purchased around $1 billion worth of Tesla shares, according to a regulatory filing, boosting the company’s stock by six percent on Monday.

The filing with the U.S. Securities and Exchange Commission showed that Musk acquired 2.57 million shares on Friday at prices ranging from $371 to $396.

The purchase comes shortly after Tesla proposed a compensation plan for Musk that could be worth over $1 trillion if he achieves ambitious growth targets driven by new technologies.

Tesla chair Robyn Denholm, a close ally of Musk, has been defending the package in media interviews, calling him “a generational leader” capable of steering Tesla’s future.

The plan could give Musk up to 12 percent more of Tesla’s total shares if the company reaches a market capitalization of at least $8.5 trillion by 2035. Shareholders are expected to vote on the proposal in November.

Tesla is also appealing a Delaware court ruling that voided Musk’s 2018 pay package valued at $55.8 billion.

The company currently has a market value of just over $1 trillion, down from previous highs following weaker earnings and backlash over Musk’s controversial political views, which analysts say have hurt sales in key markets.