‘The nail that sticks out gets hammered first’: Elon Musk’s net worth falls $113 billion from Tesla and SpaceX drops
Elon Musk's net worth fell approximately $113 billion over a two-day span following the midterm elections, driven by sharp declines in the market values of Tesla and SpaceX. While the broader Wall Street market rallied with the Dow rising 3% on Wednesday following a Democratic sweep of the House and Senate, Musk's companies bucked the trend. Investors dumped the shares amid fears of political retaliation after Musk spent nearly $500 million on the midterm elections attempting to keep Texas red. The stock slump also eroded AI and data centre shares associated with his business empire.
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- ✓ Elon Musk's net worth fell about $113 billion over Wednesday and Thursday sessions as Tesla and SpaceX shares dropped, according to Bloomberg's index cited by Fortune.
- ✓ Tesla and SpaceX shed a combined market cap of over $420 billion following the midterms.
- ✓ Elon Musk spent nearly $500 million on the midterm elections.
What changed
Tesla and SpaceX shares cratered in the wake of the midterm elections, wiping out billions in combined market capitalization and slashing Musk's personal fortune by $113 billion over two days.
Live updates
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Elon Musk Net Worth Plunges $113B After Midterm Backlash
Elon Musk's net worth fell approximately $113 billion over a two-day span following the midterm elections, driven by sharp declines in the market values of Tesla and SpaceX. While the broader Wall Street market rallied with the Dow rising 3% on Wednesday following a Democratic sweep of the House and Senate, Musk's companies bucked the trend. Investors dumped the shares amid fears of political retaliation after Musk spent nearly $500 million on the midterm elections attempting to keep Texas red. The stock slump also eroded AI and data centre shares associated with his business empire.
Why it matters
The sharp market drop follows a high-stakes political gamble by Musk during the midterm elections, which ultimately resulted in Democrats regaining control of both the House and Senate. Analysts and market observers noted that investors worried about potential political retaliation against his corporate entities, such as Tesla and SpaceX. Consequently, public backlash intensified in regions like Texas, where local critics publicly told Musk to leave after the rout.
What is confirmed
- Elon Musk's net worth fell about $113 billion over Wednesday and Thursday sessions as Tesla and SpaceX shares dropped, according to Bloomberg's index cited by Fortune.
- Tesla and SpaceX shed a combined market cap of over $420 billion following the midterms.
- Elon Musk spent nearly $500 million on the midterm elections.
Still unconfirmed
- Texans turned on Elon Musk after the midterms rout, telling him to get in his rocket and go.
What to watch next
- Congressional oversight hearings or legislative actions initiated by Democrats targeting Tesla and SpaceX.
- Further stock performance and valuation metrics for Tesla and SpaceX as investors gauge regulatory and political risks.
confidence 95%Sources used for this update (19)
- fortune.com — Elon Musk | Articles, Insights & Updates | Fortune
- The New York Times — Opinion | Elon Musk’s Very Bad Night
- CNN — Musk bet big on keeping Texas red. What happens to his business empire now?
- CNBC — Elon Musk's Tesla and SpaceX lose over $420 billion in combined market cap after midterms
- NPR — Elon Musk will face scrutiny from Democrats after midterms
- WSJ — 📉SpaceX, Tesla Take a Dive
- The Times — Elon Musk loses billions as AI and data centre shares fall after midterms
- Fortune — ‘The nail that sticks out gets hammered first’: Elon Musk’s net worth falls $113 billion from Tesla and SpaceX drops
- 24/7 Wall St. — Elon Musk's Net Worth Drops Nearly $80 Billion In A Day As Tesla And SpaceX Stock Crater During Tech Wipe-Out
- TradingView — Tesla and SpaceX Shed $456 Billion, Elon Musk Loses Nearly $80 Billion in a Day
- The Times — ‘Get in your rocket and go’: Texans turn on Elon Musk after midterms rout
- USA Today — Politics hurt Elon Musk and Tesla before. Could midterm results do it again?
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