Jed Dorsheimer, William Blair analyst, joins 'Money Movers' to discuss Tesla offering Elon Musk $1 trillion pay package and what it means for stockholders, investors and company outlook.

Tesla has introduced a new performance-based pay package for CEO Elon Musk, potentially worth $1 trillion if he achieves a series of demanding milestones. According to Tesla chair Robin Denholm, Musk will receive no compensation unless these targets are met, emphasizing the plan's focus on performance rather than guaranteed pay.

Analysts highlight that the package is intended to secure Musk's ongoing engagement with Tesla, particularly in areas like robotaxi development and artificial intelligence. The plan requires the creation of significant shareholder value, with the achievement of full autonomy seen as a central goal. While some question the company's succession planning, the package is widely viewed as a positive step for Tesla and its investors.

Tesla offers Elon Musk $1T pay package

Our Andrew Ross Sorkin talked to with Tesla chair Robin Denholm all about the pay package earlier this morning. Take a listen If he doesn't hit any of the milestones he gets zero. This is not a compensation package It's a performance package And so if he performs if he hits the milestones the super ambitious milestones that are in the plan, then he gets equity Joining us this morning William Blair analyst Jed Dorsheimer who has a market perform on the stock jet. Happy Friday. Good to see you again Hey, happy Friday to you. Thanks for having me back We take this as a read that he is really interested in doing this job as opposed to starting a new political party Yeah, definitely. I mean, I think this should take one of the biggest concerns off the table, which is about engagement and there's no way to read this other than this incentivizes Elon to be singularly engaged with the Opportunities and the value creation of Tesla So well, you know the pay package is probably what will hit most of the headlines We should also point out that in order to unlock that it really requires Delivering seven and a half trillion dollars of value to shareholders Right is that but you've been I mean I would argue you've had a modicum of caution about them at least a multiple in the Auto business and maybe the promise of future business. Are these reachable targets? You know what? I would say here from reading through how the tranches will be Unlocked and those incentives what jumps out to me? Is that? Robotaxi is really the the key here as well as potentially XAI those are kind of the two things that jump out. Remember I came on the program a month ago and Talk to you about or talk to David about the you know about robotaxi And which are no really hit a nerve I said I was you know felt like Ben Stiller on something about Mary with six-minute apps and yeah So the but you know, we have two distinctly different, you know, the institutional side seems to be very skeptical about Tesla's ability to achieve Autonomy where the retail side I think is you know Is looking at the opportunity here this to me really, you know Touches on both of those and closes that gap and in addition, you know They can achieve this with the probabilistic model versus Waymo's deterministic That is probably the way that you unlock most of this value creation. I get why you Analysts investors everyone's excited about this. Obviously the the move to to keep Tesla's biggest asset arguably Tesla's biggest asset, which is Elon Musk, but dad, I wonder if they should be spending Time as well as incentivizing must to stay on on succession plans. Doesn't it raise that question, too? I Mean, it's a good point and you know not in the boardroom so but I think keeping the innovation engine going is certainly maybe that's step one and This allows them to create and we'll see more, you know around that to come but you know, certainly You know, this is there's no way to look at this and say hey this is a negative it's certainly a positive for shareholders for Elon and probably for all of us if they're able to achieve autonomy at its scale

The White House said the U.S. is sending 10 F-35 fighter jets to Puerto Rico. It comes as the Defense Department confirmed that two armed Venezuelan F-16 fighter jets flew over a U.S. Navy ship in the region on Thursday.

Washington

U.S. to send F-35 fighter jets to Puerto Rico amid Venezuela tensions

President Trump signed an executive order to start the process of renaming the Department of Defense to the Department of War, restoring a name the agency last held in the late 1940s.

Trump orders Defense Department be renamed as Department of War

Xi and Kim, along with top officials from their countries, met on Thursday at Beijing’s Great Hall of the People a day after Kim attended a Chinese military parade alongside other foreign leaders including Russian President Vladimir Putin.

Beijing

China’s Xi and North Korea’s Kim meet in Beijing, pledge deeper ties

Two Venezuelan fighter jets flew over the USS Jason Dunham, multiple Defense Department officials confirm, calling the action a "show of force." CBS News' Willie James Inman and Charlie D'Agata report.

Caracas

Two Venezuelan fighter jets fly over U.S. Navy ship, officials confirm

A massive Immigration and Customs Enforcement raid at a Hyundai manufacturing site in Georgia led to hundreds of immigrants being detained for apparently living and working in the U.S. illegally.

Savannah

Massive ICE raid at Hyundai site leaves 475 detained in Georgia

Israel targeted a high-rise building in Gaza City, the military said in a statement. As the world braces for Israel's major military operation to seize Gaza's largest city, Hamas released a video purportedly showing two hostages, including one calling on Israel not to carry out its planned Gaza City offensive.

Jerusalem

Middle East Conflict

Israel strikes Gaza City high-rise building, Hamas releases another hostage video

US Secretary of State Marco Rubio is wrapping up a two-day trip to Latin America. It comes as the countries in the region watch the Trump administration step up military activity in the area, to combat drug trafficking and illegal migration.

Quito

U.S. mulls military base in Ecuador

A powerful aftershock struck eastern Afghanistan late on Thursday night. More than 2,200 people have already died the quake. Rescue crews are still searching remote villages, but rescue efforts are hampered by rough terrain and aftershocks. The World Food Programme says food stocks are running low and could be exhausted within weeks.

Kabul

Afghanistan quake death toll passes 2200 as food supplies run low

What happens in Ukraine once the war with Russia is over? France tells President Volodymyr Zelenskyy that 26 nations are now ready to offer security guarantees, including the possible deployment of foreign troops as part of a post-war peace arrangement.

Paris

Ukraine Invasion

Ukraine's European allies agree security guarantees

CEOs from some of the nation's biggest tech companies sat down for a dinner with President Trump on Thursday. Among those present were Tim Cook, Sam Altman, Bill Gates and Mark Zuckerberg.

Trump hosts Mark Zuckerberg, Bill Gates and other tech CEOs

U.S. President Donald Trump had a call with Ukrainian President Volodymyr Zelenskyy and other European leaders Thursday about Russia's war in Ukraine. CBS News White House reporter Olivia Rinaldi has more.

Trump speaks with Zelenskyy, pushes Europe to stop buying Russian oil

"With infinite sorrow, the Armani Group announces the passing of its creator, founder, and tireless driving force: Giorgio Armani," the fashion house said in a statement on Thursday.

Milan

'King' of Italian fashion Giorgio Armani dies at 91

A federal judge on Wednesday ruled that U.S. President Donald Trump's administration unlawfully terminated about $2.2 billion in grants awarded to Harvard University and can no longer cut off research funding to the prestigious Ivy League school.

Cambridge

Trump admin unlawfully cut Harvard's funding, U.S. judge rules

Russian President Vladimir Putin has delivered a statement after meeting leaders on the sidelines of the military event in Beijing. He spoke about Russian security interests, and the Ukraine war.

Moscow

Putin wraps China visit with gas deal, calls for Ukraine peace talks

Hope is fading of finding survivors in the rubble of homes devastated by a powerful earthquake in eastern Afghanistan over the weekend that killed more than 1,400 people, as emergency services struggle to reach remote villages.

Kunar

Hope fades for finding survivors after Afghan quake kills over 1400

Portuguese authorities say at least 15 people died after a streetcar derailed and crashed in the capital of Lisbon. CBS News senior foreign correspondent Imtiaz Tyab has the latest.

Lisbon

Iconic streetcar in Portugal's Lisbon derails, 15 killed

Democratic Rep. Ro Khanna, along with Republican Reps. Thomas Massie and Marjorie Taylor Greene, held a news conference on Wednesday with survivors of Jeffrey Epstein and Ghislaine Maxwell's sexual abuse. CBS News' Caitlin Huey-Burns has more details.

Epstein survivors add voices to calls for transparency

Israel's central intelligence agency, Shin Bet, said that it thwarted an assassination plot by Hamas against the country's right-wing minister of national security, Itamar Ben-Gvir, Reuters reports.

Tel Aviv-Yafo

Israel reportedly thwarted plot to assassinate right-wing minister

In California on Tuesday, a jury took less than an hour to clear Cardi B of assault allegations made in a $24 million civil lawsuit. A security guard claimed the rap star attacked her in 2018.

Los Angeles

Cardi B wins civil case against security guard

Secretary of State Marco Rubio said on Tuesday that the U.S. military struck a boat apparently carrying drugs from Venezuela. CBS News' Charlie D'Agata has the latest details.

Trump says U.S. struck drug-carrying boat from Venezuela

China's Xi Jinping welcomed Russian President Vladimir Putin and North Korea's Kim Jong Un, along with other world leaders, for a huge military parade showing off new technology.

Vladimir Putin, Kim Jong Un attend China's massive military parade

A Republican-led U.S. House of Representatives committee said it released more than 33,000 pages of files on the disgraced financier and convicted sex offender Jeffrey Epstein, as party leadership looked to end a push by a bipartisan pair of lawmakers to force a vote on the matter.

U.S. House committee releases thousands of Epstein files

French Prime Minister Francois Bayrou last week called for parliament to hold an earlier-than-expected vote of confidence in him. Next week’s ballot could lead to the collapse of his centrist government and prompt a period of further instability in the European Union’s second biggest economy.

France’s PM faces crucial confidence vote amid political turmoil

Tens of thousands of reservists began to report for duty on Tuesday for a new Israeli offensive to seize Gaza City, which Prime Minister Benjamin Netanyahu wants to accelerate despite warnings from senior ranks.

Israel calls up reservists as military chief clashes with ministers

The House Oversight Committee on Tuesday released over 33,000 pages of documents related to sex offender Jeffrey Epstein.

33,000 pages of Jeffrey Epstein documents released by House panel

Belgium joins the ranks of Australia, France, Canada and the UK, all who have pledged to recognize a Palestinian state at the UNGA next week in a bid to ramp up pressure on the Israeli government to end the war in Gaza.

Brussels

Belgium to recognize Palestine at the UN General Assembly

A powerful 6.0 magnitude earthquake in eastern Afghanistan killed at least 1,400 people, according to the Afghan Red Crescent Society. Thousands more were  injured.

At least 1,400 killed in powerful Afghanistan earthquake

The death toll from Afghanistan's worst earthquake in years jumped to over 1,100 with thousands more injured, as difficult terrain hindered rescue efforts in isolated villages of the country's mountainous eastern region.

Breakdown