Jeff Bezos Surpasses Elon Musk as Tesla Shares Decline
Elon Musk has been surpassed by Jeff Bezos, who has reclaimed his position as the world’s richest individual. According to the Bloomberg Billionaires Index on Tuesday, Bezos’ net worth has reached $200 billion, exceeding the $198 billion held by the Tesla CEO.
Bezos has seen an increase of $23 billion in 2024, while Musk’s wealth has declined by approximately $31 billion, as reported by the index.
For the first time in nine months, Elon Musk, the founder of Tesla and SpaceX, has been overtaken as the world’s richest person. Musk has now fallen to second place on the Bloomberg Billionaire Index, conceding the top position to Jeff Bezos, the founder and former CEO of Amazon.
Factors for decline in Musk wealth
On Monday, Elon Musk experienced a notable decline in his net worth as Tesla shares dropped approximately 7.2 percent, resulting in Jeff Bezos becoming the wealthiest individual globally. Musk’s net worth now stands at $197.7 billion, while Jeff Bezos’ fortune has reached $200.3 billion. For the first time since 2021, Bezos has regained his position as the world’s wealthiest individual.
As Tesla shares decline, Amazon shares have steadily risen, narrowing the wealth disparity between Musk and Bezos in recent months. At its peak, the gap in net worth between Elon Musk and Jeff Bezos reached as high as $142 billion.
Both companies are included in the Magnificent Seven stocks in the US, yet Amazon’s stock has doubled since 2022, whereas Tesla’s shares have plummeted by nearly 50 percent since reaching their peak in 2021. On Monday, Tesla shares declined following preliminary data indicating a significant decrease in shipments from its Shanghai factory, marking the lowest figures in over a year. In contrast, Amazon experienced its strongest online sales growth since the early stages of the pandemic.
Musk’s net worth could face additional declines
Elon Musk’s net worth is anticipated to endure another substantial blow, not solely due to the significant decline in Tesla shares. Following a Delaware judge’s ruling invalidating his $55 billion pay package at Tesla, Musk’s wealth could further diminish. The judgement favoured an investor who contested Musk’s compensation plan, previously hailed as the largest in history. Among Musk’s significant assets, the voided plan encompassed options, in addition to his stakes in Tesla and SpaceX. Conversely, Bezos’s substantial fortune primarily stems from his 9% stake in Amazon, where he remains the largest shareholder. Despite selling approximately 50 million shares valued at around $8.5 billion last month, Bezos retains his prominent position within the online retail giant. Bezos ascended to the position of the world’s wealthiest individual in 2017, surpassing the net worth of Microsoft founder Bill Gates. He reclaimed the top spot in 2021 as Amazon shares surged, coinciding with a gradual decline in Tesla shares.
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