Tesla Inc., co-founder and technoking, Elon Musk sold $1.02 billion of the company’s shares in accordance with the US Securities and Exchange Commission, even as shares in the electric-vehicle (EV) maker are expected to increase by 30 percent in the next 12 months. The Tesla technoking sold 934,090 shares.

Tesla is in a strong position heading into 2022, with catalysts including robust Chinese demand and new factory openings in the U.S. and Germany.

There are expectations on component shortages to ease next year, allowing Tesla to better meet growing demand in China while new factories in Austin, Texas and Berlin are said to alleviate global production bottlenecks.

Daniel Ives says, “the linchpin to the overall bull thesis on Tesla remains China, which we estimate will represent 40percent of deliveries for the EV maker in 2022.

Ives states that by the end of next year, Tesla will have capacity to produce about two million cars annually from around one million today. Right now Tesla has a high-class problem of demand outstripping supply.

Tesla’s shares have stood high this year, 55 percent shares propelled company’s market value above $1 trillion. Musk has been divesting stock since November and said he is “almost done" with his target of reducing his stake by ten percent.

Meanwhile, Musk, who has bought more than $15 billion worth of shares in the company since early November, said last week that he was ‘almost done’ with his stock sales.

Musk says, “I sold enough stock to get to around 10percent plus the option exercise stuff and I tried to be extremely literal here. Tesla shares extended gains, rising more than five percent this week after ending 7.5 percent higher the previous session”.