Tesla's capitalization fell by $1 trillion following Elon Musk's stock sale
In early November, Elon Musk held a poll on Twitter asking if he should get rid of 10% of his company shares. Once more than half agreed with the sale, he began actively selling his assets. It made him one of the richest people in the world and also brought down the capitalization of Tesla by $1 trillion.
As Bloomberg notes, the company's stock has fallen 21% since its sales started on November 8. The biggest drop came on Monday, December 13, when the price per share fell 5% to $966.41. Currently, 70% of the planned volume has been sold. Further sell-off is expected to continue the decline in capitalization.
An aggressive sell-off reduced Tesla's growth to 32% for 2021 while also making Elon Musk one of the richest men in the world. According to the Bloomberg Billionaires Index, he managed to earn $98 billion in 2021 alone. Elon Musk's total fortune as of mid-December 2021 is estimated at $253.5 billion. At the same time, the businessman is not paid salaries or bonuses. As agreed, upon meeting the profit growth targets, EBITDA multiplier, and capitalization, he is granted an option to buy the company's shares at a fixed price.