What just happened? Elon Musk has a lot to claim: the second richest man in the world, the owner of Twitter, the CEO of several multi-billion dollar companies. But there is one title he is unlikely to want; Musk became the first person in history to have a $200 billion net worth written off.
In 2021, Musk became only the second person to ever amass a personal fortune of $200 billion — founder and former Amazon CEO Jeff Bezos beat him to that milestone. That same year, the Tesla boss’s value continued to rise, peaking at $340 billion in November 2021, a month after Tesla’s market capitalization reached $1 trillion.
But lately, Musk’s condition has deteriorated dramatically. Much of his fortune comes from holding Tesla shares, which have fallen from $381 in April to their current price of $123. That meant Musk lost his title as the world’s richest man in December to Bernard Arnault, chairman of French luxury goods conglomerate LVMH. And like Bloomberg notesMusk’s current net worth of $137 billion means that his net worth has shrunk by $200 billion, the first time in history that such an undesirable achievement has occurred.
Many Tesla investors place the blame for the company’s share price drop on Musk and his Twitter concerns. Over the past 12 months, the CEO has sold almost $40 billion worth of his Tesla shares despite promising several times not to sell more. The sale means his SpaceX shares ($44.8 billion) are now worth more than his Tesla shares ($44 billion).
Musk appears to be trying to distance himself from the day-to-day running of Twitter by appointing a new CEO – one of his recent polls showed more people voted for him to step down – though he’s still trying to find someone “stupid”. enough” to accept the job.
Not surprisingly, Musk is ignoring reports of falling Tesla stock prices. He also criticized the Federal Reserve for raising interest rates. “Tesla is doing better than ever!” Musk tweeted last month. “We don’t control the Federal Reserve. That’s the real problem.”