Kimbal Musk, Elon’s younger brother, has more than $ 7 million in Tesla Inc. traded shares because he acquired shares through options and sold them the same day at an average price of $ 600 higher than he paid for them.
In a Form 4 filed with the Securities and Exchange Commission late Monday, Tesla announced that Kimbal, who is on the board of directors of the manufacturer of electric vehicles, used options on April 1 to buy 12,000 common shares buy at a price of $ 74.17 per share for $ 890,040.00. . Elon has been Tesla’s CEO since October 2008.
On the same day, Tesla said that Kimbal sold 12,000 shares in the open market at a weighted average price of $ 675,856, according to a MarketWatch calculation of the Form 4 data, to raise $ 8,110,149.46.
Just, Kimbal pocketed $ 7,220,109.46.
The company said the share sale was part of a 10b5-1 rule trading plan adopted by Kimbal on May 19, 2020.
The TSLA stock,
rose 0.1% to $ 691.41 in the recent afternoon trade on Tuesday, after rising 4.4% on Monday. To date, the share has fallen 2.0% while the S&P 500 index SPX,
achieved 8.6%.
Kimbal’s share sales were made through a series of transactions on April 1, at prices ranging from $ 660,113 to $ 691.35. On that day, shortly after the announcement, the stock rose to 3.7% to an intraday high of $ 692.42, before reversing the course to a 1.3% low to an intra-day low of $ 659.42, before deciding to close 0.9% at $ 661.75.
It still owns 599,740 ordinary shares of Tesla after the share sale, which is valued at current prices at about $ 414.7 million. He also had benefits from buying 197,250 shares.
FactSet, MarketWatch
Kimbal has been pretty good at picking short-term tops in Tesla’s share over the past few months. The last time he sold shares was on February 9 at a weighted average price of $ 852,117. The stock closed at $ 849.46 that day and has since closed below that level.
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Previously, Kimbal sold shares on September 1, and this was the peak for the stock for about 2 1/2 months.