Tesla, Inc. TSLA shares are poised to open sharply higher as they stacked up over 5% in premarket trading on Thursday.
The buoyancy in the stock can be traced back to Musk confirming that Tesla shareholders were overwhelmingly passing the two crucial proposals: re-approving the billionaire’s 2018 compensation plan and relocating Tesla’s incorporation from Delaware to Texas.
“Both Tesla shareholder resolutions are currently passing by wide margins!” Musk said on X, adding “Thanks for your support!!”
In January, the Tesla CEO issued an ultimatum stating that if he did not receive a 25% controlling stake, he would prefer building outside of Tesla.
Following Musk’s update on the voting pattern, a Tesla influencer asked him on social media whether he would now work toward making the company the most valuable. Musk replied in the affirmative.
The company’s annual shareholder meeting is scheduled to be held at 4:30 p.m. EDT on Thursday and it is available for viewing by the public through a livestream.
With the compensation package overhang now nearly in the rearview, the next big catalyst for the stock would be the second-quarter deliveries update in early July and second-quarter results in mid-July. Following these, Tesla is set to unveil robotaxi on Aug. 8.
In premarket trading, the stock rose 5.34% to $186.75, according to Benzinga Pro data.
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See Also: Everything You Need to Know About Tesla Stock
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