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Elon Musk is world’s fifth richest man with net worth of $74bn

Elon Musk is now the world’s fifth richest man after his net worth hit $74 billion Monday afternoon thanks to Tesla’s ongoing stock rally. 

Shares in the company, founded by Musk, 49, hit $1,643.00 – a 300 per cent increase since January 2020 and up 60 per cent since the end of June. Tesla is now worth more than General Motors, Ford, BMW and Ferrari combined and has surpassed every rival to become the world’s highest-valued automaker.

Asked by Forbes about his wealth, outspoken Musk, who is also the CEO of SpaceX, said: ‘I really couldn’t care less. These numbers rise and fall, but what really matters is making great products that people love.’

The world’s richest man, Amazon founder Jeff Bezos’, also saw his net worth increase by $13 billion in one day on Monday. That is the largest one day jump in one person’s wealth in the history of the Bloomberg Billionaire List. He now has a fortune of $189.3 billion.

Amazon has seen its share price jump by 73 per cent since the beginning of the year, thanks to an increase in online shopping amid the coronavirus. 

That rise makes Bezos, who has an 11 per cent stake, worth more than companies like Nike and McDonald’s.

Musk was worth just under $25 billion as recently as March and stood at 31 on Forbes’ rich list. Since then his wealth has tripled.   

He now falls behind only Facebook founder Mark Zuckerberg, who is fourth richest, Microsoft’s Bill Gates in third, Bernard Arnault in second and Bezos, who is the world’s richest man.  

Tesla’s share price has increased more than six-fold since October, trading around $1,500 on Monday. 

Retail investors around the world, staunch believers in the company’s mission to lead the auto industry into a battery-powered future, have invested their personal money, and at times their parents’ retirement funds, in Tesla and reaped handsome rewards. 

Tesla reports second-quarter results on Wednesday after the close of trading. While analysts polled by Refinitiv on average expect the company to report a loss, a surprisingly strong vehicle delivery report boosted hopes among many retail investors for a profitable quarter. 

While the total number of Tesla retail investors is not known, around 75 per cent of the company’s stock is owned by large institutional investors and Tesla executives, including Chief Executive Elon Musk, according to Refinitiv data.

Tesla shares are among the most popular on U.S. retail investor platforms, such as Robinhood Markets Inc and TD Ameritrade. 

The number of users holding Tesla stock on the Robinhood trading app increased more than 400 per cent from the first two weeks of July 2018 to the same point this year, according to data from Robintrack.net, which compiles data on the investing platform.

In South Korea, where Tesla has become the latest craze among tech-savvy professionals, the company is the most-traded overseas stock, with Koreans buying $3.2 billion worth of Tesla shares so far this year, up nearly 13-fold from all of 2019. 

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