Elon Musk buys $1 billion worth of Tesla stock

Move marks his first open-market buy in over five years, drives stock price up on Sept. 15

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Elon Musk
Elon Musk, who previously held about 13% of Tesla's outstanding shares (valued at around $250 billion), has long expressed a desire for greater voting control, aiming for at least 25% to comfortably lead the company's push into artificial intelligence and robotics.
Bloomberg

In a move that's sending shockwaves through the financial markets, Tesla CEO Elon Musk has purchased approximately $1 billion worth of Tesla stock, marking his first open-market buy in over five years.

According to a regulatory filing with the U.S Securities and Exchange Commission (SEC) released on September 15, 2025, Musk acquired about 2.57 million shares on Friday, September 12, 2025.

The purchases were made through 25 separate transactions at prices ranging from $372 to $396 per share, with an average price around $389.

Tesla shares jumped to 6.64% on Monday to $422.25 (as of 11.21 EDT Sept. 15).

This transaction, executed via the Elon Musk Revocable Trust where he serves as trustee, totals roughly $1 billion and represents the largest insider acquisition of Tesla stock by value in the company's history.

Unprecedented $1 trillion CEO pay offer

The BBC reported that the timing of this buy couldn't be more intriguing.

It comes amid Tesla's board proposing an unprecedented compensation package for Musk, potentially worth up to $975 billion (or nearly $1 trillion) if he meets aggressive performance milestones over the next decade.

These goals include boosting Tesla's market capitalisation to $8.5 trillion from its current $1.3 trillion, deploying one million autonomous taxis, producing one million humanoid robots, and increasing profits more than 24-fold.

This purchase not only signals his commitment but also strengthens his influence ahead of a shareholder vote on the pay package scheduled for November 2025.

Stock surges

Shares surged as much as 9% in pre-market trading on September 15. This propelled Tesla into positive territory for the year 2025, reversing a slight year-to-date decline.

The rally added billions to Musk's net worth overnight, with early gains alone covering the cost of his investment and then some.

Trading volume hit record levels, reflecting heightened investor confidence.

Analysts, while mixed, lean cautiously optimistic: out of 64 surveyed, 50% recommend buying or strong buying, citing Tesla's advancements in clean energy, AI, and new model launches despite challenges like slumping global sales and expiring US EV tax credits at the end of September.

Bold statement

This isn't just a financial manoeuvre; it's a bold statement from the world's richest person, with a net worth exceeding $419 billion.

Musk's last significant open-market purchase was in February 2020, and he's been a net seller since, offloading over $20 billion in shares to fund his 2022 acquisition of Twitter (now X).

Tesla headwinds

Recent headwinds for Tesla include backlash from Musk's political involvement — such as his role in the Trump administration's Department of Government Efficiency — leading to historic sales drops in Q1 and Q2 2025, profit plunges, and legal issues like a $243 million Autopilot verdict and EU probes into autonomy claims.

Yet, Musk views this buy as a vote of confidence in Tesla's future beyond electric vehicles, emphasising robotaxis and AI as the true value drivers.

On X (formerly Twitter), the reaction has been electric.

Discussions range from bullish predictions of 3-10x returns to analyses of how this could "maul shorts" and reset the Tesla narrative.

Some speculate on leverage strategies like call options versus outright shares, underscoring the high-risk, high-reward nature of Musk's bet.

Musk's moties questioned

Critics, however, question the motives, labelling it ego-driven or manipulative amid ongoing shareholder lawsuits.

Still, for investors, this insider buy often screams "undervalued," especially with Tesla's 66% gain over the past six months.

As the Fed meets this week for potential rate cuts and global EV competition intensifies from China, Musk's action could prove a masterstroke — or a gamble.

Either way, it's reignited optimism, positioning Tesla as a top-10 global company by market cap and reminding us why Musk remains a market mover.

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