Tesla stock rose on Wednesday, rebounding from a 2% decline in the prior session, as attention remained fixed on Chief Executive Elon Musk’s potential $1 trillion compensation package and fresh optimism from Wall Street analysts.

The S&P 500 rose 0.2%, the Nasdaq Composite added 0.3%, and the Dow Jones Industrial Average gained 102 points, or 0.2%.

Tesla stock advanced 2.9% to trade at $438.21.

Elon Musk defends $1T incentive package

A central focus for investors is Tesla’s board proposal to award Musk a massive performance incentive.

The plan would grant him about 425 million incentive-linked shares—roughly 12% of Tesla’s stock—if the company achieves an $8.5 trillion market capitalisation.