Business

Elon Musk Becomes The Richest Man In The World

Elon Musk
JD Lasica from Pleasanton, CA, US, CC BY 2.0, via Wikimedia Commons

Thursday saw a 6% rise in Tesla stocks and that gave Elon Musk the push he needed to pass Jeff Bezos to become the world’s richest person. Tesla stocks have been steadily rising in the last year, more so after the US election as the government hoped to make electric cars more common in the country. This takes Elon Musk’s net worth to a whopping $191 Billion. 


On the other hand, Amazon’s stocks saw an increase of just 2% even though its sales saw a phenomenal rise in the lockdown. The reason for Musk’s place is said to be the fact that he owns 20% of the shares and stocks of Tesla, while Jeff Bezos owns just 10.6% stake in his company. 


Musk had passed Bill Gates to become the second richest person in late November. Since then, the company has seen an increase of 45% since then, amassing a wealth of more than $45 billion. In two months, Musk passed Bezos to get the title.


The Bloomberg tracker declared the news yesterday at the end of the trading day. Bill Gates is now the third richest man in the world, after Bezos and Musk. Amazon’s stock value fell recently after the US election as there were concerns over its policy and regulations and the stricter government rules. 


Apart from Tesla Musk also owns shares of SpaceX, his own space program. It is a private company and hence its shares don’t experience a lot of market fluctuations. But it does contribute to the rise of Musk’s overall worth. You could also take into consideration the fact that Bezos had to split his money with his Ex wife after they split. She now owns the company’s shares and earned enough in the settlement to become the richest woman in the world. 


Stock analysts are concerned over the steep rise in Musk’s worth and market shares. They say that the values are far exceeding real money and this bubble could easily burst. Such kind of stock bubbles were last seen in the 1900s and burst quickly, resulting in a quick fall of the market shares. 

Molly

Molly