Telsa chair, Robyn Denholm, sold stock worth $230 million as company profits plunged

Published: Thursday, May 15, 2025 at 2:28 pm

Tesla Chair Sells $230 Million in Stock Amidst Profit Plunge and Political Backlash

Tesla's chair, Robyn Denholm, has sold over $230 million worth of company stock in recent months, coinciding with a significant drop in Tesla's profits and stock price. This selling spree, revealed by filings reviewed by the Associated Press, began after Elon Musk's endorsement of Donald Trump triggered boycotts and protests against the electric vehicle manufacturer.

More than half of Denholm's sales occurred in the first four months of this year, as Tesla's stock price fell by a third. She unloaded hundreds of thousands of shares, representing over half of her holdings, according to a pre-arranged selling plan filed with regulators. This plan was put in place on the same day Musk publicly endorsed Trump for president.

Denholm's profits were likely amplified by stock options granted to her years ago, allowing her to purchase shares at a significant discount. Data from FactSet indicates that nearly a million shares were acquired through options for just $25 each, a fraction of the market price for much of the last nine months.

While the reasons behind Denholm's decision to sell such a large portion of her stake remain unclear, pre-determined selling schedules are common among executives and directors. These plans are designed to assure investors that sales are not based on insider information. Other Tesla insiders, including the chief financial officer, have also sold significant amounts of stock, totaling $189 million in the same period.

Tesla's stock initially surged after Trump's election, fueled by expectations of reduced regulatory scrutiny. However, Musk's political affiliations and comments supporting right-wing politicians have led to a consumer backlash, contributing to a 71% plunge in profits reported in the first quarter of the year. The stock has since rebounded somewhat, with Tesla closing at $347 per share on Wednesday, up 4% for the day and over 50% since its April low.

BNN's Perspective: While the timing of Denholm's sales, coinciding with Musk's political endorsements and a profit decline, is noteworthy, it's important to remember that pre-arranged selling plans are a standard practice. The market's reaction, however, suggests a sensitivity to the company's public image and the potential impact of political affiliations on consumer behavior. The rebound in stock price indicates that investors still have faith in Tesla's long-term prospects, but the situation highlights the increasing intersection of business and politics.

Keywords: Tesla, Robyn Denholm, stock sale, Elon Musk, Donald Trump, profits, stock price, electric vehicles, insider trading, pre-arranged selling plan, boycotts, political backlash, Tesla stock, Tesla profits, Tesla chair

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