Tesla(US:TSLA) 3 6 Ke·2025-11-12 10:44Core Viewpoint - Tesla's new compensation plan for Elon Musk, approved with 75% support at the shareholder meeting, requires him to meet 12 performance targets to unlock his potential $1 trillion compensation, raising questions about the feasibility of achieving these goals [1][2][3]. Group 1: Compensation Structure - The compensation plan is structured around 12 levels, each with specific market capitalization and operational/financial targets that Musk must achieve to earn his compensation [2][5]. - The first batch requires Tesla to reach a market cap of $2 trillion and deliver 20 million vehicles, while the final batch demands a market cap of $8.5 trillion and consistent profits of $400 billion over four quarters [2][5][7]. Group 2: Performance Targets - Initial targets focus on product delivery, including vehicle deliveries, Full Self-Driving (FSD) subscriptions, and the deployment of humanoid robots and Robotaxi fleets, which are crucial for Tesla's growth trajectory [3][5]. - Later targets shift to profitability, requiring adjusted EBITDA to reach $800 billion initially, increasing to $4 trillion, which is significantly higher than current industry leaders [5][7]. Group 3: Historical Context - Musk's previous compensation plan from 2018, which was based on performance metrics, has yet to be fully realized despite achieving all targets, highlighting the challenges in executing such ambitious plans [9][11][15]. - The current plan's ambitious nature is underscored by the comparison to Saudi Aramco's profits, with Musk needing to increase Tesla's profits by 223 times within ten years [7][9]. Group 4: Industry Implications - The unique compensation structure has drawn attention within the automotive industry, with other companies beginning to adopt similar performance-based incentives for their executives [17][19]. - Domestic competitors like Li Auto and Xpeng are implementing their own performance-based compensation plans, focusing on sales and market capitalization, reflecting a trend in the industry towards aligning executive incentives with company performance [19][27].