Tesla (NASDAQ:TSLA) shares climbed more than 5% intra-day today following CEO Elon Musk's announcement on social media that shareholders are supporting his $56 billion compensation package and the company's move to reincorporate in Texas from Delaware.

This week, Tesla shareholders are voting on Musk’s pay package, the largest in U.S. corporate history, and the company's reincorporation in Texas.

Musk posted on X, stating that both shareholder resolutions are passing by significant margins and expressing gratitude for the support. Reports from Reuters, citing a source familiar with early voting, indicate a similar trend in favor of both resolutions.

Analysts at Piper Sandler predicted that the stock would likely react positively to this news, although they noted that the increase might not be as dramatic as the potential decline would have been if shareholders had rejected the proposals.

Earlier this year, Musk's compensation package was invalidated by a Delaware judge following numerous lawsuits and shareholder complaints. This week's vote will determine whether the pay package is reinstated and if Tesla will proceed with its reincorporation in Texas, a move prompted by Musk's dissatisfaction with Delaware's conditions.