The “Big Money Show” panel discusses Elon Musk’s bold prediction that in the near future, artificial intelligence will make work optional and money irrelevant.
Elon Musk’s Tesla took a hit from “Big Short” investor Michael Burry, who claimed the electric car maker was “ridiculously overvalued” days after he expressed concerns about the market’s AI boom.
“Tesla’s market cap is wildly overvalued today, and has been for quite some time,” Barry wrote Sunday in Substack’s Cassandra Unchained newsletter. Reuters reported.
Berry also calculated that Tesla will reduce existing shareholders’ equity by about 3.6% annually due to continued stock issuance and lack of stock buybacks. He added that Musk’s huge compensation plan will further accelerate that dilution.
Last month, Tesla shareholders voted yes. Musk’s $1 trillion salary package — The largest executive compensation system in history. Under the plan, Musk would receive up to about 12% of Tesla’s stock, worth about $1 trillion, with restrictions, if Tesla reaches a market capitalization of $8.5 trillion over 10 years and hits other performance milestones. As of late November 2025, Tesla’s market value was about $1.43 trillion, making it the world’s most valuable automaker, more than five times Toyota’s valuation of about $260 billion, and CEO Elon Musk owns about 13% of the company’s outstanding shares.
The revised compensation plan follows a Delaware judge’s January 2024 decision invalidating Musk’s previous $56 billion compensation package, which is currently being litigated.
“Big Short” investor Michael Varley takes aim at Elon Musk’s Tesla in his latest article for the Substack Newsletter. (Getty Images)
As of Monday afternoon, Tesla stock is It was trading around $427-$430, down slightly from the previous session. Tesla’s stock price has risen significantly over the past year, reflecting investor optimism about the company’s growth plans, but it remains below its 52-week high.
Tesla did not respond to Fox News Digital’s request for comment.
Mr. Barry became famous for accurately predicting the collapse of the U.S. housing market in 2007-2008 and executing on that bet through an early short position in controversial subprime mortgage securities.
The How to Make Money panel with Emily Austin and John Pompliano will discuss Elon Musk’s multi-trillion dollar salary package, Zoran Mamdani leading the New York City mayoral race, the Trump administration’s citizenship test plan, and more.
His foresight was later immortalized in Michael Lewis’s The Big Short and the Oscar-winning film adaptation, cementing his reputation as one of Wall Street’s most famous contrarian investors.
Reuters also reported that Berry has recently stepped up his criticism of tech giants such as Nvidia and Palantir, “questioning the cloud infrastructure boom and accusing major providers of aggressive accounting practices to inflate profits from huge hardware investments.”
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Nancy Tengler, CEO of Lafer Tengler Investments, shares her thoughts on Tesla investors approving Elon Musk’s $1 trillion pay package and more on “The Craman Countdown.”
Conversely, Musk said in a new interview on Sunday that he believes robotics and artificial intelligence (AI) will become essential to society going forward. solve national problems The national debt exceeds $38 trillion.
“I think that’s pretty much the only thing that can solve the U.S. debt crisis, because the U.S. debt is so high right now,” Musk said. “Interest payments on the debt exceed the entire U.S. military budget in interest payments alone and will continue to increase, at least in the short term.”
FOX Business’ Eric Revell contributed to this report.
