Saturday, January 22, 2022

As Tesla Stock Soars, Elon Musk’s Fortune Passes $300 Billion Again

Editor’s notice: story up to date at 4:15 p.m. E.T. to account for Tesla’s inventory value at market shut.

Elon Musk is beginning the brand new 12 months off robust. On Monday, the twitter-savvy mogul added $32.6 billion to his internet price. Musk’s fortune stands at $304.2 billion, Forbes estimates, as soon as once more placing him again above the $300 billion threshold he briefly handed for the primary time in November. He stays the world’s richest particular person, some $103.6 billion forward of second-place Bernard Arnault, CEO of French vogue empire LVMH. (Jeff Bezos is No. 3 richest.)

As traditional, Musk has Tesla’s hovering inventory value to thank. On Sunday, the electrical automotive maker announced it delivered greater than 936,000 automobiles in 2021, beating analysts’ projections. Investors had been fast to react when the market opened on Monday, paying much less heed to information from December 30 that the company recalled 475,000 of its cars manufactured between 2014 and 2021: Tesla shares jumped greater than 13% by market shut. The firm’s market capitalization has once more topped the $1 trillion mark, after dipping below that level last month

Musk, who’s Tesla’s CEO and owns about 15.6% of its inventory, continues to promote shares. In late December, he closed out the 12 months by unloading practically 3 million shares on the open market to cowl the tax payments on some 5.7 million inventory choices he concurrently exercised. Musk  tweeted in December that he would pay about $11 billion in taxes for 2021, which might place him among the many largest particular person U.S. taxpayers ever. He offered 15.7 million Tesla shares, price greater than $16 billion (pre-tax), over the course of the 12 months.

Musk has been on quite a ride. His fortune jumped by greater than $200 billion over 2020 and 2021, together with including $116 billion to his internet price final 12 months alone–setting the record for the biggest one-year gain of any billionaire Forbes has ever tracked. 

Another potential windfall awaits him later this month, when Tesla is slated to report fourth quarter earnings. If the corporate hits sure operational and valuation objectives–as analysts broadly count on–Musk will earn hundreds of thousands of profitable inventory choices that would pad his fortune with billions of {dollars}.

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