Kimon Musk, Elon’s younger brother, earned more than $ 7 million by trading Tesla Inc. shares because he bought shares through options and sold them the same day at an average price of $ 600 higher than paid for them.
In a Form 4 filed with the Securities and Exchange Commission late Monday, Tesla revealed that Kimbal, who sits on the board of the electric vehicle manufacturer, has exercised options to buy 12,000 common shares on April 1 at a price of $ 74.17 per share, for $ 890,040.00. . Elon has been the CEO of Tesla since October 2008.
On the same day, Tesla said Kimbal sold 12,000 shares on the open market at a weighted average price of $ 675,856, according to a MarketWatch calculation of Form 4 data, to raise $ 8,110,149.46.
Net, Kimbal pocketed $ 7,220,109.46.
The company stated that the sales of shares are part of a trading plan of Rule 10b5-1 adopted by Kimbal on May 19, 2020.
TSLA stock,
rose 0.1% Tuesday to $ 691.41 on Tuesday in recent afternoon trading, after rising 4.4% on Monday. So far, the stock has fallen 2.0%, while the S&P 500 SPX,
gained 8.6%.
Kimbal’s stock sales on April 1 were made through a series of transactions, priced between $ 660,111 and $ 691.35. On that day, shares closed up 3.7% to an intraday high of $ 692.42 shortly after opening, before reversing the course to fall to 1.3% at an intraday low of $ 659.42, before settling to close 0.9% at $ 661.75.
He still held 599,740 ordinary shares of Tesla after sales of shares, which at current prices were valued at approximately $ 414.7 million. It also held beneficial options to buy 197,250 shares.
FactSet, MarketWatch
Kimbal has been pretty good at picking up short-term charts in Tesla stocks in recent months. The last time he sold shares was on February 9, at a weighted average price of $ 852,117. The shares closed that day at $ 849.46 and have since closed below that level.
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Prior to that, Kimbal sold shares on September 1, and this marked the maximum of the action for about 2 1/2 months.