Tesla stock’s epic fall has hit Musk’s wealth hard. The worry for investors.
Subscribe to enjoy similar stories. More than $600 billion in market value has evaporated in Tesla stock since mid-December. That decline has shaved some $140 billion of Elon Musk’s net worth.
Tesla stock’s epic fall has wiped out more than $600 billion market value since mid-December highs. The decline has cost CEO Elon Musk some $140 billion in net worth. He should be OK.
He’s still worth some $420 billion, according to Barron’s math. Investors might want to pay attention to the changing distribution of his wealth, though. After Tesla stock’s roughly 20% fall over the past five days leading into Thursday trading, Musk’s stakes in rocket maker SpaceX, artificial intelligence company xAI, and social-media platform X now look to be worth a little more than his stake in the electric vehicle maker.
In the past, Tesla stock typically represented the lion’s share of Musk’s wealth. Measuring wealth, of course, is more art than science. Musk doesn’t have $420 billion in the bank.
His net worth is an estimate based on the undiscounted value of his Tesla stock and the value of his stakes in privately held companies. Valuations for those change when his companies raise money—so can Musk’s stakes—and they can change base on pricing data from platforms designed to trade shares in private firms. Sometimes wealth estimates will discount his private stakes, which can’t easily be converted for cash.
Sometimes estimates try to include any potential liabilities Musk might have. There is no one true number for Musk’s net worth. Based on recent data, SpaceX is worth some $350 billion, xAI is worth $75 billion, and X is worth $44 billion.
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