Elon Musk’s reign as the world’s richest person has come to an end, with Jeff Bezos reclaiming the top spot on the Bloomberg Billionaires Index for the first time since 2021. The shift occurred after Tesla Inc. shares plummeted 7.2% on Monday, causing Musk’s net worth to dip to $197.7 billion, while Bezos’ fortune rose to $200.3 billion.
The disparity in wealth between Musk, 52, and Bezos, 60, had been narrowing as Amazon and Tesla shares moved in opposite directions. Although both companies are part of the influential “Magnificent Seven” stocks driving US equity markets, Amazon’s shares surged by over 100% since late 2022, nearing record highs, while Tesla’s shares declined by approximately 50% from their 2021 peak.
Tesla’s stock decline on Monday was spurred by preliminary data indicating a slump in shipments from its Shanghai factory, marking the lowest figures in over a year. In contrast, Amazon reported its strongest online sales growth since the early stages of the pandemic.
Musk’s wealth faces further jeopardy following a Delaware judge’s decision to invalidate his $55 billion pay package at Tesla, the largest in history. The ruling favored an investor who contested Musk’s compensation plan, which heavily relied on options that constitute a significant portion of his assets alongside his stakes in Tesla and SpaceX.
Bezos, whose vast fortune is primarily derived from his 9% stake in Amazon, remains the online retailer’s largest shareholder. Despite selling 50 million Amazon shares worth about $8.5 billion last month, Bezos has retained his position at the helm of the wealth rankings.
While Bezos has historically held the title of the world’s richest person since 2017, a surge in Tesla shares led to a close competition between him and Musk throughout 2021. However, Bezos fell behind towards the end of the year and has now reclaimed the coveted No. 1 position.
