Elon Musk becomes world's richest person again: Here's how
After a neck-and-neck battle over the past few months, Elon Musk has finally managed to pull ahead of Bernard Arnault in the world's richest race. The Tesla CEO reclaimed his top spot in the Bloomberg Billionaires Index with a net worth of $192 billion. Let's take a look at how Musk pushed Arnault to the second spot.
Why does this story matter?
Musk was the first man to amass a fortune beyond $300 billion in the world. However, last year, he also became the first to lose $100 billion in net worth in a single calendar year. His acquisition of Twitter played a major role in the drastic drop. Now, Twitter is only worth 33% of what Musk paid, but he is back on top.
Musk's wealth increased by 40.3% this year
In contrast to last year, Musk's wealth has witnessed a major uptick in 2023. The billionaire's net worth has increased by 40.3% ($55.3 billion) this year. He rose to the top of the list after Arnault's wealth fell 2.7% or 5.5 billion on May 31. Arnault is now behind Musk with a net worth of $187 billion.
Tesla's shares are up 65.55% in 2023
Musk's return to the top was facilitated by two things: Tesla's rise and the fall of luxury stocks. Most of Musk's fortune (71%) is tied to Tesla. In 2022, the EV maker's shares fell by around 70%. This fall was reflected in Musk's wealth. This year, however, Tesla has been on an upward trajectory. The company's stocks are up by 65.55% in 2023.
Luxury sector has been experiencing a downturn
Arnault became the richest man courtesy of the unhindered rise of luxury stocks. The increase in demand for luxury goods during the pandemic continued through 2022, making companies like LVMH richer. However, luxury stocks have been experiencing a downturn over the past month. In May, Arnault lost $11.2 billion in a single day. LVMH is down 9.31% in the last month.
Musk is poised to hold on to the top spot
This is not the first time Musk regained the title of the richest person from Arnault. He last did it in February, but Arnault took it back. This time, however, things look different. The tide is in Tesla's and Musk's favor. His visit to China has amplified the hype surrounding the carmaker. LVMH, on the other hand, is fighting against the market.Share this timeline