Credited from: NEWSWEEK
Elon Musk, the CEO of Tesla and SpaceX, has reported losses totaling $11.3 billion in 2025, more than any other billionaire this year, according to Newsweek. This decline is attributed to a combination of factors, including a disappointing earnings report from Tesla, which brought in $25.7 billion in revenue for the last quarter—significantly below the $27.3 billion forecast by analysts.
The earnings report reveals that Tesla is facing its second consecutive year of declining profits, with Musk's net worth affected by the automotive company's struggles, despite Tesla remaining the world's eighth most valuable company with a market capitalization nearing $1.25 trillion. Despite criticisms over a political salute during Trump's inauguration, which may have impacted the stock, Musk remains confident about Tesla's future. He stated, "There is a path where Tesla is worth more than the next top five companies combined."
During the recent earnings call, Musk shared ambitious production timelines for Tesla's upcoming "robotaxi" service, with plans to launch driverless vehicles in Austin, Texas, by June 2025. This optimism was echoed by Tesla executives, who stated that the company anticipates a return to growth in its core vehicle business by 2025.
While questions have arisen regarding Musk's involvement in the White House and its implications for Tesla, analysts remain divided on the firm's stock performance, especially as the company navigates increased competition from other automakers like BYD and traditional manufacturers such as BMW and Volkswagen.
Musk's losses this year are also notable against his stellar financial performance in 2024, leading to speculations that he could have surpassed the $500 billion mark this year. However, with these recent financial tribulations, those predictions now seem uncertain.
In summation, the substantial decline in Musk's wealth reflects ongoing volatility in the automotive market and heightened scrutiny of his actions and decisions. As analysts continue to assess the impact of Musk's celebrity and narrative on Tesla's stock value, many are left wondering how the company will adapt amid external pressures and its lush ambitions.