If Tesla doesn't live up to the hype it created - and I believe there is virtually 0% chance it does - and the stock inevitably crashes - say 90% from here, will your judgement be the same ?
Yes, he delivered a 10x return to those shareholders that approved. If they choose to stay invested now and lose money, that’s all on them. They know everything you do, including your expert “0%” analysis.
Well, increasing the share price 10x is not a good benchmark - it should be (and we all know it's not in this case) independent of the CEO - it should be dependent on the economic performance of the company. A CEO with such a huge package as discussed here, may be more inclined to, let's just say be 'overly optimistic'. One such overly optimistic CEO in the same industry recently went to jail.
But anyway, the trail is not really about that - it's about proper governance. If you're a public company you get to benefit from a lot of things, but you do have some obligations. And those were pretty clearly broken - keep in mind that this complaint was filled in 2018 - just after the package was awarded.
Just to be clear - I do think that what Elon Musk did, lifting Tesla from a startup to a top10 carmaker, is absolutely remarkable But this judgment has nothing to do with it.
If Tesla doesn't live up to the hype it created - and I believe there is virtually 0% chance it does - and the stock inevitably crashes - say 90% from here, will your judgement be the same ?