After Tesla’s stock price plummeted for the second day in a row, Elon Musk has lost $50 billion so far this week. This is the biggest two-day drop in the history of the Bloomberg Billionaires Index, and it is also the biggest one-day drop since Jeff Bezos’s $36 billion plunge after his divorce from Mackenzie Scott in 2019. Tesla’s defeat comes at a time when the automaker has gone through turbulent days.

When Musk asked his Twitter fans over the weekend whether he should sell his 10% stake in the company, the news that his brother Kimbal sold his shares before voting began. On Tuesday morning, an insider of Michael Burry, an investor famous for the movie “Big Short,” reported that Musk might want to sell stocks to pay off his personal debts.

This decline reduced Musk’s lead over Bezos’s world’s richest man to $83 billion. In January of this year, Musk surpassed the founder of Amazon for the first time, and the gap between the two has recently broken $143 billion, a figure that exceeds the net worth of the world’s fourth richest man Bill Gates. Cathie Wood’s ARK Investment Management fund has been selling Tesla shares in the past few months and lost more than $750 million in Tuesday’s sell-off.

Oracle’s founder Larry Ellison, the company’s first The two largest individual shareholders lost US$2.1 billion. Despite the economic downturn, Musk’s wealth has increased by 70% this year, thanks to Tesla’s earnings, supported by strong earnings growth and delivery volume, and SpaceX’s higher valuation.

Tesla’s market value has remained above US$1 trillion, which is the benchmark reached last month after its third-quarter performance significantly exceeded market expectations and the car rental company Hertz Global Holdings Inc. ordered 100,000 Tesla vehicles.

News Source : Hindustan Times