Tesla shareholders awarded CEO Elon Musk a pay package on Wednesday that could grant the tech entrepreneur nearly $1 trillion in compensation over the next decade.
All existing share holders get diluted. The shareholders are paying Musk if this happens. When he gets a paid a tranche, the stock price will dip because of the dilution.
Edit: like if Musk magically met all the tranches on the last day, and Tesla was worth 8.5 trillion. It’s not going to suddenly be worth 9.5 trillion the next day. The price will go down.
Ummm dude that’s not how that works.
No money gets created.
All existing share holders get diluted. The shareholders are paying Musk if this happens. When he gets a paid a tranche, the stock price will dip because of the dilution.
Edit: like if Musk magically met all the tranches on the last day, and Tesla was worth 8.5 trillion. It’s not going to suddenly be worth 9.5 trillion the next day. The price will go down.