Musk’s fortune fell by $16.1 billion on Thursday after Tesla Inc’s weak third-quarter profit weighed on its stock price.
Musk is the richest man on earth, with a fortune of $209.6 billion, and owns 13% of Tesla, the car company from which he derives most of his wealth. Tesla’s profit and sales for the quarter fell short of expectations, and its stock price fell 9.3%.
During a conference call following Wednesday’s earnings release, Musk said mentioned repeatedly The impact of high interest rates on consumer confidence. The electric car giant reported a decline in sales in the first quarter of this year, with 435,000 vehicles delivered, while profit margins fell to their lowest level in more than four years after the company repeatedly cut vehicle prices.
Still, despite deteriorating fundamentals, Musk’s wealth will increase by more than $70 billion in 2023 as Tesla’s stock price rebounds. He is once again the world’s richest man by a wide margin, after briefly being overtaken by LVMH’s Bernard Arnault.
Despite the tough situation, Tesla insists it will have 1.8 million customers buying new cars by the end of the year. Tesla remains the world’s most valuable automaker and said it will deliver its long-awaited first Cybertruck in November, about two years later than originally planned.
Svlook
