The disappointment of investors after the Tesla Investor Day is also reflected in Elon Musk’s wallet. Almost 48 hours after the tech billionaire ousted LVMH boss Arnault from the throne of the richest person in the world, he has to give up the title again.
That happened quickly: Just two days after Tesla boss Elon Musk moved back to first place in the ranking of the richest people, he had to give up the position again. His net worth is down about $2 billion, according to Bloomberg’s Billionaires Index. It is now $184 billion.
The reason: Tesla shares closed 5.7 percent lower in after-hours trading on Wednesday after Investor Day. The electric car maker announced a platform for “next generation” electric vehicles at the event, but did not provide any details on the new models or financial forecasts.
“It’s no surprise that Tesla stock is down more than 5 percent in the hours following Tesla Investor Day as investors lacked details on new Tesla products or services,” wrote the CEO of asset management firm AXS Investments, Greg Bassuk in a note obtained by Business Insider.
Musk owes much of his wealth to his 13 percent stake in Tesla. If the share price falls, this also has direct consequences for his assets. At its peak in fall 2021, Musk’s fortune reached a record $340 billion, according to the Bloomberg ranking. By the beginning of this year, it had fallen to around $125 billion. This makes him the first person to lose $200 billion.
Arnault replaced him at the top of the rankings in mid-December. His assets had also shrunk at times during the global economic crisis, but not as much. His fortune is currently around $186 billion, about $2 billion more than Musk’s. Arnault’s wealth is primarily based on his stake in luxury giant LVMH, which owns numerous traditional brands such as Louis Vuitton.