Tesla CEO Elon Musk has lost $126 billion of his personal wealth this year as Tesla’s stock price continues to fall. Despite this, Musk is still far from financial trouble
A $29 Billion Loss in One Day
Musk recently lost $29 billion in a single day after Tesla’s stock dropped by 15%, marking its worst day since a 21% drop in September 2020.
Tesla’s Market Value Drops 45%
Tesla’s market value has fallen by 45% since reaching a record high of $1.5 trillion on December 17, 2024. As of March 11, Musk’s wealth has decreased by $126 billion, according to the Bloomberg Billionaires Index. Tesla is facing tough competition from other electric vehicle makers, especially in China. Sales dropped 12% in California, its biggest market, and fell sharply in Europe, with a 76% decline in Germany in February. In 2024, Tesla’s overall sales dropped by 1%, marking its first decline in more than 10 years. The company’s reputation and customer recommendations have also taken a hit.
But Why
Experts suggest Musk’s controversial comments, ties to former President Donald Trump, and his new role in cutting U.S. government bureaucracy may be affecting his wealth. Musk has drawn criticism for his comments on X (formerly Twitter), his support for Trump, and his role in the Trump administration’s government downsizing efforts. Tesla has become a symbol of these controversies, leading to boycotts, protests, and vandalism.
Many Tesla buyers are Democrats, and the company’s association with Trump and MAGA politics is causing concern. This was highlighted when Trump sat in a Tesla Model S with Musk at the White House.
Musk Still the Richest Person in the World
Despite the setbacks, Musk remains the world’s richest person with a net worth of $307 billion, according to Bloomberg. Amazon founder Jeff Bezos is second with $218 billion.
Tesla Still the Most Valuable Automaker
Tesla’s market value is over $700 billion, making it the most valuable car company in the world, even after the stock price drop.
