It appears that Musk has slipped even further away from the title of the world’s richest person, after a massive selloff in tech stocks over the past week wiped billions from Musk’s extensive fortune.
Tesla shares slipped by a further 4% on Friday to the lowest level in nearly three months, pushing the EV maker’s weekly losses to more than 13%. Currently sitting just below US$598, Tesla shares have declined by almost 30% since the its peak of $883 at the beginning of the year.
The recent volatility in Tesla’s share price has inevitably impacted Musk’s net worth, especially since he owns approximately 20% of the the company’s stock. In fact, the stock’s decline caused Musk to lose some $27 billion from his fortune, which currently amounts to $157 billion, according to the Bloomberg Billionaire’s Index. Musk briefly overtook Amazon founder Jeff Bezos in the title of the world’s richest person amid Tesla’s skyrocketing rally at the beginning of the year.
Although Musk himself had once said that Tesla’s price may be too high, the EV maker’s recent price decline comes amid a market-wide selloff in tech stocks, as investors anticipate a rise in inflation following a spike in US Treasury yields. Despite the Nasdaq gaining 1.6% on Friday, the tech index still remained nearly 2% lower for the week, marking the longest duration of losses in almost half a year.
Information for this briefing was found via Bloomberg. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.