Musk's Net Worth Slips Below $200B As Tesla Shares Dip
The Facts
After Tesla's stock hit a 52-week low in early morning trading on Tuesday, CEO Elon Musk's net worth dropped below $200B for the second time since Oct. 1, 2021 — it also briefly fell to $199B in May 2022 before rebounding.
Amid news that the electric vehicle maker recalled 40k vehicles because of a power-steering flaw, Tesla shares — of which Musk owns about 17% — fell 2.93% to $191.30, dropping his net worth to $197.4B as of Tuesday's closing.
The Spin
Narrative A
It seems Musk took on his new Twitter venture without being fully prepared. Investors look for a steady hand at the helm of the companies they put money into, and right now, Musk looks lost in the world of tech platforms while neglecting his other companies.
Narrative B
At best, Musk's Twitter purchase is a calculated business strategy. At worst, it's an attempt to dominate the news cycle. Either scenario will likely bring success to Musk and his companies, despite the seemingly feeble start. While some might say he's stretched too thin, it would be foolish to think he doesn't have some tricks up his sleeve to boost all three of his companies' valuations through his new social media platform.
