Further, if the stock is stagnant or declining, this would be taking money from investors via stock dilution. If Jim puts $10 into the company for 10 of 100 total shares, and you increase the shares to 200 by handing out money to executives - Jim now owns $5 (10 of 200 shares) with his other $5 being used to "print" the shares.

This is not currently the case with Tesla, but the stock has a reputation for being volatile.

It’s taking money from investors no matter what the price does.

If the price is going up the existing investors now own a smaller percentage of a more valuable company.

It’s just more obvious if you get diluted while the company doesn’t change value.