Tesla Stock Jumps 8% After Elon Musk’s $1 Billion Share Purchase

Tesla stock has jumped after Elon Musk’s share purchase. According to Reuters, the stock rose more than 8% on September 15, 2025 following a regulatory filing revealing Musk’s share purchase valued at close to $1 billion.

Tightening Control Over Tesla

According to LSEQ data, the Tesla CEO held about 13% stake in the company as of December 2024. Musk’s purchase of Tesla shares worth a thousand million highlights his push to tighten control over the company as it shifts from EV manufacturing toward ambitions in robotics, robotaxis, and AI.

On September 12, 2025, the Tesla CEO disclosed the purchase of 2.57 million shares in open-market transactions. On the same day, Tesla stock extended solid gains from the previous trading session after they rose 7%.

According to the regulatory filing, Musk paid between $372.37 and $396.54 for each share.
The recent Tesla share buy by Musk is the largest he has made in the open market. The move represents a significant insider acquisition that traders viewed as a vote of confidence from the Tesla CEO.

If this performance holds, Tesla stock will be on track for a third straight session of gains, potentially nearing a record high. The stock has lost about 2% since the beginning of 2025.

Musk’s Demand for Bigger Share

Musk invested a billion in Tesla shares at a time when he has been demanding for more voting power and an expanded stake in the EV manufacturer. Previously, the Tesla CEO has threatened to develop robotics and AI products outside the company if he does not get 25% voting power.

At the beginning of this month, the Tesla board proposed a $1 trillion dollar pay package for Musk and asked investors to approve it. The compensation plan features 12 tranches of shares to be issued to the Tesla CEO only if the company achieves specific milestones over the next 10 years.

Musk had been demanding for the package since 2024. The move by the Tesla board represents a vote of confidence in Musk’s leadership amidst stiff competition and shrinking demand for electric vehicles. If approved by investors, the new package will give the Tesla CEO over 423 million additional shares and expand Musk’s voting power in the EV maker. In August 2025, Tesla granted Musk 96 million new shares valued at $29 billion in a move that was aimed at keeping him at the helm of the company.

Doubling Down on Tesla’s AI Bet

According to Webdush Global Head of Teach Research Dan Ives, Tesla’s stock boost after insider purchase is a “huge sign of confidence for Tesla bulls and shows Musk is doubling down on his Tesla AI bet.”

Musk rarely makes share purchases in the open market. His first purchase of this kind was in February 2020 when he bought 200,000 shares valued at about $10 million. This year, Tesla stock has been weighed down by dipping sales in major markets.

In July 2025, Tesla sales dipped 8.4% compared to the previous year amid growing competition from Chinese EV makers that offer lower-priced models. During this month, Tesla delivered 67,886 units of its China-made Model Y and Model 3 vehicles to Europe and other markets, representing a 5.2% drop from June 2025 deliveries. In the U.K., Tesla offered up to 40% in lease discounts in a bid to move more units.

Tesla shareholders will vote on Musk’s pay package in November 2025. The ultimate goal of the package is to get the tech giant to an $8.5 trillion market valuation. Tesla’s market valuation stood at $1.3 trillion on Friday September 12, 2025.