Experts have explained why Elon Musk’s net worth has plummeted by a whopping $102 billion in just two months.
The richest man in the world has seen a huge hit to his wealth in recent weeks.
And one financial expert has lifted the lid on why the Tesla boss is experiencing such a drop.
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While we’ll keep our tiny violins to one side for now - after all, the mogul is hardly experiencing the depths of financial woes, Musk has seen his bank balance take quite the hit recently, with his net worth dropping by around 24%.
According to a report by Entrepreneur, this is due to a plummet in Tesla share prices, which have dropped from $404 to $263 this year.
And there could be a simple explanation for the downturn in value, according to experts.
Recently, Musk has taken center stage in the Trump administration after campaigning for President Donald Trump’s election win and subsequently being appointed as the head of the Department of Government Efficiency (DOGE).
While technically not a government department, DOGE is purported to act as an outside advisor to the president on federal spending.
Although, concerns have been raised over Musk’s access to confidential data in the Treasury payment system and his close proximity to government seems to have ruffled a few feathers within Tesla too.
Wedbush analyst Dan Ives said, as per Barrons: “While the DOGE/Trump Musk iron-clad partnership has created major brand worries for Tesla … we estimate less than five percent of Tesla sales globally are at risk from these issues.
“We expect Musk will better balance his time between DOGE and Tesla/SpaceX over the course of 2025.”
Musk became the CEO of Tesla back in October 2008, succeeding Ze’ev Drori, who became vice-chairman before exiting the company two months later.
Under the mogul, the company has launched a handful of well-selling electric vehicles, including the Cybertruck, which first began production in November 2023.
In the US, a top-spec Cybertruck will set you back by anything from $74,000 to $94,000, according to Car Wow.
Although, Tesla shareholders have been publicly venting their thoughts on the billionaire now splitting his time between various job roles.
One shareholder even demanded on X, formerly Twitter, that Musk share ‘five things he’s done for them this week’.
The jibe appeared to use Musk’s own words against him as it referenced a controversial email sent out by the Department of Government Efficiency (DOGE) which demanded federal employees justify their paychecks.