Elon Musk’s net worth has plunged below $200 billion as the share price of his electric car company Tesla continues to plummet and his stake in Twitter has gone underwater.
Musk, the world’s richest man, had a net worth of $193 billion as of Wednesday, according to the Bloomberg Billionaires Index.
However, since the start of the year, he has seen his wealth decrease by $77.6 billion, as Wall Street appears to be on the verge of a bear market.
Kasturi and other multi-billionaires have seen their fortunes shrink. The 50 wealthiest people, including Bill Gates, Jeff Bezos, Mark Zuckerberg and Bernard Arnault, lost a total of half a trillion dollars since the start of 2022.
Tesla shares fell nearly 7% on Tuesday as the company’s assembly line has been disrupted by the ongoing coronavirus lockdown in China.
On April 4, Tesla was trading at $1,145 per share. On that day Musk announced that he had bought a 9.2% stake in social media company Twitter.
Since then, however, the share price of both companies has declined. Tesla fell to an all-time low of $620.57 per share before closing Tuesday at $628.16.
Twitter hardly did better on Tuesday. Its share price fell 6% on Tuesday, closing at $35.76 – the lowest level since March 16.
Since the start of the year, Twitter stock is down 17.6% while Tesla shares are down 40.8%. Both companies’ losses have exceeded the S&P 500, which is down 17.5% so far.
Twitter’s shares have fallen 31.1% since closing at a high of $51.70 on April 25 — when the company’s board of directors accepted Musk’s $44 billion buyout offer.
According to Marketwatch, Musk bought his 9.2% stake in Twitter, or 73.12 million shares, at a weighted average price of $36.16.
At the current stock price, Musk would lose $40.7 million on his investment. This is significantly faster than the increase of $1.14 billion from the closing price of $51.70 on April 25.
Musk’s acquisition of Twitter has elevated his public profile, though it came with a price. Last week, it was revealed that Musk’s space travel firm, SpaceX, paid $250,000 to settle sexual misconduct claims brought by a flight attendant in 2016.