Elon Musk loses his title as the world’s richest person to Jeff Bezos, the founder of Amazon. This marks the first time since 2021 that Bezos has topped Bloomberg’s Billionaires Index.
The shift in rankings came after Tesla Inc.’s shares experienced a sharp decline of 7.2% on Monday, causing Musk’s net worth to fall to $197.7 billion, while Bezos’ fortune reached $200.3 billion.
The decline in Tesla’s stock price has been attributed to a drop in shipments from its Shanghai factory, which hit a low not seen in over a year.
The wealth gap between Musk and Bezos, which once stood at a staggering $142 billion, has been gradually narrowing as Amazon’s stock has soared, more than doubling since late 2022, while Tesla’s stock has slumped by about 50% from its peak in 2021.
Adding to Musk’s financial woes, a Delaware judge recently invalidated his $55 billion pay package at Tesla, siding with an investor who challenged the compensation plan.
This decision could further impact Musk’s wealth, as a significant portion of his assets are tied to options included in the now voided plan.
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Meanwhile, Bezos’ wealth is primarily derived from his 9% stake in Amazon, making him the largest shareholder of the e-commerce giant.
Despite recently selling 50 million Amazon shares worth approximately $8.5 billion, Bezos remains firmly positioned as the wealthiest individual.
For Bezos, reclaiming the title of the richest person in the world is a familiar feat, having first surpassed Bill Gates in 2017. Although Musk enjoyed a period of dominance in 2021 due to a surge in Tesla’s stock price, Bezos has now regained the top spot.
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Apart from Musk and Bezos, Bernard Arnault, the chairman of LVMH Moet Hennessy Louis Vuitton, also ranks among the world’s wealthiest individuals with a net worth of $197.5 billion.
The shifting fortunes of these billionaires highlight the volatility of the stock market and the impact it can have on personal wealth.
Bezos’ resurgence underscores the enduring strength of Amazon, while Musk grapples with challenges facing Tesla and the repercussions of legal decisions affecting his compensation package.
