Elon Musk’s New Worth Increases As Tesla’s Stock Soars

Elon Musk’s New Worth Increases As Tesla’s Stock Soars

July 31, 2020 0 By Stephen Callahan

Tesla CEO Elon Musk’s net worth grew by $5.2 billion in late June 2020. His new found wealth is due to the electric carmaker’s market valuation reaching $225.4 billion. Musk, who owns 13 percent of Tesla’s stock, benefited from the company’s soaring stock price. Musk told Forbes in an email that, “I really couldn’t care less.” He was alluding to the fact that his net worth will keep rising and falling as it depends on Tesla’s worth. Musk also said the he couldn’t care about the numbers; he just wanted to make an electric car that consumers would love. Musk does not take a salary from Tesla; his compensation is tied to the company’s performance.

Musk co-founded Tesla in 2003. As the product architect, he overseas the development of the company’s products, including electric cars, batteries and solar roofs. By 2008, Tesla had unveiled their Roadster, a car which generated interest in the automotive industry; Daimler acquired a share of the company and Tesla entered into a partnership with Toyota. By 2018, Tesla had several cars in production, but they were not meeting production forecasts. Musk reportedly took over engineering and slept at the factory. Tesla reorganized, and by the end of the year, the electric carmaker met its production goal of 5,000 Model 3 cars per week, while also turning out Model S sedans and the carmaker’s SUVs.

The South African-born entrepreneur became a multimillionaire before he reached age 30, when he sold a company he started to Compaq Computers. At age 12, Musk sold a game he developed, and co-launched the first of his companies, Zip2 Corporation, at age 24. He and his brother later sold the company Compaq Computer Corporation division. Later, Musk and his brother founded X.com, which was acquired and is now known as PayPal. Several years later, Musk still owned PayPal stock. When eBay bought PayPal, he became a billionaire.

Musk is the 22nd-wealthiest individual in the world, with a net worth of $46.3 billion. Despite his enormous wealth, Musk told his twitter followers that he planned to sell his homes and most of his possessions so he could have his freedom. One of his homes, previously owned by Gene Wilder, is for sale for $9.5 million. There’s a stipulation; no one can tear down the quirky Bel-Air Country Club Golf Course house.

Musk is also dedicated to exploring space. He started SpaceX in 2002 to further commercial space travel. In just a few years, Musk won a contract from NASA to transport cargo destined for the International Space Station. In 2012, SpaceX delivered 1,000 pounds of supplies to the space station, a first for a private company.

Musk’s latest two ventures are Solar City, established in 2016 and The Boring Company, established in 2017. Solar City advances solar energy and makes it affordable to consumers. The Boring Company builds tunnels underground to reduce surface traffic. The company is already working on two major projects; a tunnel running parallel to an interstate and a tunnel under the Las Vegas Convention Center.

Musk was well prepared for his entrepreneurship endeavors. In 1993, he earned two degrees from the University of Pennsylvania in economics and physics. His plans were to get a PhD from the Stanford University in California, but he only attended classes for two days before dropping out to establish his first company.