Elon Musk’s net worth slashed by $34 billion in a single day – Bloomberg

DDM News

Elon Musk, CEO of Tesla and SpaceX, has suffered a dramatic $34 billion drop in personal wealth within a single day.

According to the Bloomberg Billionaires Index, the decline ranks as the second-largest one-day personal net worth loss in the index’s history.

Diaspora Digital Media (DDM) reports that the largest drop ever also belonged to Musk, which occurred in November 2021 when Tesla stock took a major hit.

Despite the latest financial setback, Musk remains the richest individual on the planet.

As of June 5, his net worth is estimated at approximately $334 billion, according to Bloomberg.

The primary cause of the decline was a steep fall in Tesla shares, which plunged by 14% on Thursday.

That single-day drop erased more than $150 billion from Tesla’s total market value.

FactSet, a financial data firm, confirmed it as the largest one-day market value loss in the history of the U.S. stock market.

This dramatic loss follows growing concerns about Tesla’s future in an increasingly competitive electric vehicle (EV) market.

Tesla, once the undisputed leader in EV innovation, is now facing serious challenges from Chinese manufacturers like BYD and global automakers shifting to electric models.

Investors have also expressed concern over Musk’s focus and leadership.

Since acquiring Twitter (now rebranded as X), Musk has divided his attention between his various ventures.

Some analysts argue that his controversial posts and polarizing political views have begun to alienate investors.

Additionally, the broader EV market has experienced a cooling in demand, supply chain challenges, and tightened regulations across Europe and North America.

Tesla’s recent earnings reports have shown signs of slowing growth, prompting fears of overvaluation.

Much of Musk’s personal fortune is tied directly to Tesla stock, meaning any fluctuation in the company’s share price has a direct impact on his net worth.

Although SpaceX remains stable and privately held, it does not affect his net worth calculations in the same way Tesla does.

Thursday’s massive drop demonstrates the volatility of stock-linked wealth, especially in the high-tech and innovation sectors.

Despite the sharp loss, Musk still leads rivals like Amazon founder Jeff Bezos and LVMH chairman Bernard Arnault by a significant margin.

The Bloomberg Billionaires Index updates daily, reflecting real-time changes in stock performance and market value.

As the market responds to Tesla’s performance and Musk’s public conduct, investors and analysts alike will continue to watch the situation closely.

This incident serves as a stark reminder of how fragile paper wealth can be, even for the world’s most powerful entrepreneurs.

For Diaspora Digital Media Updates click on Whatsapp, or Telegram. For eyewitness accounts/ reports/ articles, write to: citizenreports@diasporadigitalmedia.com. Follow us on X (Fomerly Twitter) or Facebook