Tesla's $26 Billion Challenge: How Elon Musk's Pay Package Could Consume Years of Profits

Nov 20, 2025 08:31 pm CST

Tesla faces a potential $26 billion hit to profits over two years if Elon Musk's 2018 compensation package is invalidated by the Delaware Supreme Court. This sum represents more than half of Tesla's total profits since 2019, creating unprecedented financial uncertainty for the electric vehicle maker as it confronts declining sales and increasing competition.