Tesla CEO Elon Musk's ownership stake in the company has reached 20.5%, making it worth more than $120 billion, according to a recent filing with the Securities and Exchange Commission (SEC). This represents a significant increase from the 13% stake Musk held in May 2023. The filing reveals that Musk's stake consists of 411.06 million shares of Tesla common stock and options to purchase an additional 303.96 million shares.
Musk has been vocal about his desire to increase his stake in Tesla to 25% to have more influence over the company. He believes this level of control is necessary for him to pursue projects related to artificial intelligence and robotics under the Tesla brand. Musk tweeted last month that he is uncomfortable leading Tesla in these areas without having approximately 25% voting control.
Musk's ownership stake in Tesla has been boosted by his 2018 compensation package, which includes tranches of Tesla stock based on the company's market capitalization milestones. However, this compensation package has faced legal challenges.
In addition to his stake in Tesla, Musk's ownership stakes in SpaceX and X contribute to his status as the richest person in the world, with a net worth of over $200 billion, according to Bloomberg data.
The news of Musk's increased ownership stake in Tesla has had a positive effect on the company's stock. In Thursday morning trades, Tesla stock rose by 2.3%.