Elon Musk, the enigmatic CEO of Tesla, has seen his net worth dip below the $200 billion mark for the first time since early June.
As of October 31, Bloomberg’s Billionaire Index estimated his net worth at $193 billion, a significant drop from the once lofty $234 billion valuation prior to Tesla’s disappointing third-quarter results and a turbulent earnings call on October 18.
Tesla’s stock price took a nearly 10% nosedive after the earnings report, and this trend continued, closing 4.8% lower at $197.36 on October 31.
In total, the stock has declined by 21% this month, albeit with a 60% increase for the year.
The roller-coaster ride of Musk’s net worth, which soared to a peak of $340 billion in November 2021, has been closely linked to Tesla’s stock performance. Musk first crossed the $200 billion threshold in 2021 and remained the world’s wealthiest individual.
Despite the recent setback, Musk still maintains his title as the world’s richest person as he outpaces Bernard Arnault, the head of luxury retail giant LVMH Moët Hennessy Louis Vuitton, whose net worth currently stands at $156 billion.
Arnault’s wealth, too, has faced pressure due to a decline in LVMH’s stock price. Consumer spending on luxury goods, which experienced a surge during the pandemic, has shown signs of tapering off, causing a 6% drop in LVMH’s share prices this month and a 1.3% decline for the year.
While the fortunes of these billionaires may fluctuate, they remain at the helm of their respective industries.