Elon Musk Net Wealth Drops $600 Billion as SpaceX Shares Crash

The net wealth of Elon Musk has declined to $684 billion, marking a loss of over $600 billion from his peak valuation of $1.33 trillion on June 16. The erosion is largely attributed to a 46% crash in shares of Space Exploration Technologies Corp., which dropped from $201.80 to $108.37 following the company's record $75 billion IPO. Further volatility is expected as 911.5 million shares become eligible for trade upon the expiration of IPO lockups.

Tesla shares have also fallen 17% since July 22. This decline follows the company's failure to meet profit estimates and its first negative free cash flow in more than two years. These financial pressures stem from capital expenditures expected to exceed $25 billion this year as Musk shifts focus toward humanoid robots, robotaxis, and AI-powered self-driving technology.

Despite the losses, Musk expressed confidence that the heavy investments would eventually provide significant returns. The wealth decline was tracked via the Bloomberg Billionaires Index by the Johns Hopkins Bloomberg School of Public Health.