The second place in the ranking of billionaires is Bernard Arnault.
Elon Musk’s fortune fell by $20.3 billion on Thursday, July 20, after Tesla warned that it might have to keep cutting the price of its electric vehicles. This caused the stock to drop.
Decreasing Musk’s net worth to $234.4 billion further narrows the wealth gap between him and Bernard Arnault, the world’s second richest man. Musk’s fortune still exceeds Arno’s by about $33 billion.
Tesla shares fell and Elon Musk lost more than $20 billion in a day.
Tesla shares fell 9.7% to $262.90. This is the biggest drop since April 20, after the company warned of declining profitability. Extended periods of discounts have taken their toll on car gross margins, which fell to a four-year low in the second quarter. Musk said on Wednesday, July 19, that Tesla will be forced to continue cutting prices if interest rates continue to rise.
It’s worth adding that since the beginning of this year, Musk’s net worth has increased by about $118 billion this year amid a 136% increase in Tesla shares.
Arnaud, 74, has grown by $39 billion this year.
