Tesla CEO is once again the richest man in the world.
The humiliation only lasted a little over two months.
Elon Musk has regained his title of richest man in the world that French businessman Bernard Arnault had taken from him in mid-December.
Arnault, 73, is chief executive of French luxury goods giant LVMH. (LVMUY) owner of prestigious brands such as Christian Dior, Louis Vuitton, Tiffany and Veuve Clicquot Champagne.
The French tycoon took the top spot from Musk on December 13. On that day, his net worth was estimated at $171 billion, compared to 51-year-old Elon Musk’s $164 billion, according to the Bloomberg Billionaires Index..
The fortune of the two men is based on their shares in their respective companies. Arnault owns 48% of the fashion and luxury giant LVMH. Musk currently owns 14.11% of Tesla’s outstanding shares, according to FactSet. The tech billionaire also has a stake of more than 40% in SpaceX.
The changes among the wealthy elite were mainly due to Tesla having a bad year on the stock market.
Musk’s net worth is estimated at $187 billion
Last year, the maker of the Model S luxury electric sedan saw its shares fall by almost two-thirds (65%). In the other direction, LVMH share prices benefited from the reopening of economies around the world after two years of covid lockdowns.
But since the beginning of the year, Tesla shares have rallied strongly in the stock market. Arnault hasn’t slowed down, but Musk’s return is supersonic. During the first two months of the year, Tesla shares rose 68.6%, which translates to a market capitalization of $267 billion more.
This renaissance, in turn, mirrors the brilliant fourth-quarter results reported by the Austin EV producer. Also, Tesla’s horizon seems clear: Demand for the group’s cars is at record levels, Musk told analysts on January 25. The automaker also plans to produce up to 2 million vehicles this year after 1.37 million in 2022.
In a few months, Tesla will also begin production of the highly anticipated Cybertruck, its first pickup/truck. This vehicle, whose order book is full, to the point that Tesla is no longer accepting orders in many parts of the world, is seen as the firm’s new source of income.
Tesla is holding an Investor Day on March 1, and markets are expecting Musk to make some dramatic announcements. The billionaire could introduce a $25,000 vehicle, allowing Tesla to reach a large audience.
All these novelties have therefore benefited Tesla but also Musk. His personal fortune is now estimated at $187 billion as of February 27, according to the Bloomberg Billionaires Index. That’s an increase from $50.1 billion this year. The tech mogul now stands ahead of Arnault, whose net worth is estimated at $185 billion, up from $23.2 billion this year.
Musk is king of the world again.
A Top 10 dominated by the Tech Bros
Earlier this year, the ranking of the world’s richest was rocked by the fall of Indian tycoon Gautam Adani, whose net worth has fallen by $82.8 billion. He is currently worth $37.7 billion.
Adani was charged with fraud, money laundering and price manipulation of shares issued by short seller Hindenburg Research of New York. These complaints have caused a strong sale of the shares of the entities that make up the Grupo Adani conglomerate. Adani, who started the year as the fourth richest person, is now ranked 21st.
Mark Zuckerberg, CEO of social media giant Meta Platforms (GOAL) – Get a free report, is in the process of returning to the top of the rankings thanks to a stock market rally in his empire. His net worth increased $17.4 billion this year, to $63 billion. He is ranked 19.
The top 10 include five other tech moguls: Jeff Bezos, Amazon founder and CEO (AMZN) – Get a free reportwith a net worth of $117 billion, an increase of $10.2 billion this year, and Bill Gates, co-founder of Microsoft (MSFT) – Get a free report, is worth $114 billion, an increase of $4.62 billion. Larry Ellison, co-founder of Oracle (ORCL) – Get a free report, has a fortune of $102 billion, an increase of $10.2 billion. He is ranked sixth.
Steve Ballmer, former CEO of Microsoft, ranks seventh with a fortune of $89.4 billion, an increase of $8.55 billion. Larry Page, co-founder of Alphabet (Google) – Get a free reportit ranks eighth with $84.7 billion, an increase of $1.77 billion.
Legendary investor Warren Buffett is the fifth richest person in the world. He is worth $106 billion, down $1.25 billion.
Mexican tycoon Carlos Slim is ninth. His fortune is estimated at $83.2 billion, up from $8.84 billion this year. Indian tycoon Mukesh Ambani ranks 10th, with a net worth of $81.1 billion, down $6.02 billion this year.