Copyright The Street
Elon Musk effectively turned a shareholder vote into a trillion-dollar test of faith. With Tesla (TSLA) shareholders approving a compensation plan that ultimately makes Musk a trillionaire, the world’s wealthiest man now has even greater milestones to chase. Veteran Tesla analyst Daniel Ives of Wedbush views it as more of a defining moment for Tesla’s next chapter. Ives feels the vote is a signal that Tesla stock investors still believe in Musk’s “wartime CEO” energy as the tech giant pushes deeper into AI, robotics, and autonomous tech. The approval also locks in Musk’s leadership for years, kicking off what he hails as Tesla’s “AI valuation phase.” Tesla shareholders say “yes” to the trillion-dollar vision On Nov. 6, 2025, in Austin, Tesla shareholders handed Musk a trillion-dollar vote of confidence. Three-quarters of votes were cast in favor of endorsing Musk’s push to switch things up at Tesla, positioning the EV pioneer from a pure-play automaker into a full-scale AI and robotics platform. The decision effectively capped what was a charged annual meeting, testing investor faith and tolerance to keep Musk in the driver’s seat. The record-setting package delivers as much as $1 trillion in stock grants over the next decade (netting $878 billion), to be paid out in 12 tranches and linked to whopping valuation and performance goals. If everything goes smoothly, Musk’s stake will climb to roughly 25% of Tesla and enter the history books. Elon Musk pay package at a glance: Approval: 75%+ support at the Nov. 6, 2025, Austin meeting. Key terms: 12 tranches; 1% per tranche; net value at $878 billion, which lays down the path to 25% ownership. Milestones: $2 trillion to $8.5 trillion market cap; 20 million vehicles delivered, along with 1 million robotaxis and Optimus robots; up to $400 billion core profit. Dan Ives backs Musk and the vision that comes with him That overwhelming approval was far from being a surprise to Wall Street. For many in the punditry, it had less to do with compensation and more to do with conviction in Musk being Tesla’s competitive edge. Perhaps the loudest voice backing this view is veteran Tesla bull Dan Ives, who has long argued that Tesla’s next chapter hinges on Musk’s dynamic leadership as the business pivots from EVs to AI-driven autonomy. Wedbush calls it the start of Tesla’s “AI valuation” phase Daniel Ives is clearly planting a flag. He reiterated an outperform (buy) rating on Tesla stock, along with an eye-popping $600 price target, anchored by the newly approved pay deal, that “crystalizes” Elon Musk’s role at the center of Tesla’s next act. This is exactly the outcome Ives expected, and in his view, it confirms Musk as a “wartime CEO as the AI Revolution takes hold,” a key piece of the puzzle forming his bullish thesis. Ives sees the “AI valuation” beginning to unlock, spearheaded by Tesla’s FSD and Robotaxi expansions into Miami, Dallas, Phoenix, and Las Vegas, laying the path toward commercial-scale autonomy. Additionally, he highlighted the incredible potential of an xAI tie-up, which only reinforces Tesla’s robust platform narrative. Execution remains critical, though, and hitting aggressive targets, including those on vehicles, Robotaxis, Optimus, and EBITDA, remains mandatory. Quick takeaways on Ives take on TSLA stock: Rating: Outperform (buy) and price target $600 (implying 40% upside). Views Musk as a key “wartime CEO” for Tesla’s AI/autonomy push. Says Tesla is the start of the “AI valuation” phase led by FSD, Robotaxi, and robotics. Stresses upside depends on delivering bold sales volume, AI, and profit milestones. Could AI be Tesla’s next growth engine? Tesla’s AI story hinges on execution. Tesla’s management confirmed that its Robotaxi network is expanding to Las Vegas, Phoenix, Dallas, Houston, and Miami, with full-scale driverless operations in Austin targeted for the end of the year, pending regulatory clearance. As reported by Fortune, the company also stated earlier this year that its humanoid robot, Optimus, is progressing rapidly toward factory use, with several thousand units expected in 2025 before scaling up to broader deployment. Moreover, shareholders are even exploring an investment in xAI, though Tesla says it’s still weighing that decision. For perspective, Reuters reported xAI’s valuation spans a whopping $24 billion (following its $6 billion Series B in May 2024) to nearly $80 billion in March 2025, when it scooped up X in an all-stock deal. Why a higher multiple for Tesla could stick (pros): Robotaxi + FSD subscriptions could potentially deliver recurring sales, with early multi-city rollout showing traction. Optimus Robotics adds a powerful and scalable AI platform beyond vehicles. Peer proof: Nvidia’s $4.5 trillion+ market cap, Alphabet’s $85 billion AI capex, and Apple’s record $27.4 billion in Services revenues underscore that investors tend to reward AI ecosystems. Tesla risks:
