Elon Musk, the billionaire behind Tesla and SpaceX, recently suffered a jaw-dropping $29 billion loss in net worth in just 24 hours. The sharp decline came as Tesla’s stock price plummeted by 15%, marking one of the most significant financial setbacks for an individual in recent history. But what caused this massive drop, and how did Musk react to the shocking blow?
On March 10, Tesla shares took a steep nosedive, wiping out billions from Musk’s fortune. The 15% stock decline was the largest single-day drop since Tesla went public, sending shockwaves through the financial world. Investors were left scrambling for answers as analysts pointed to several key factors behind the downturn.
Declining Demand in Key Markets
Tesla faced significant slowdowns in major markets like Germany and China, where orders dropped by 70% and shipments fell by 49%, respectively. This sudden decrease in demand raised red flags about the company’s long-term growth prospects.
Musk’s Political Involvement Adds Pressure
Beyond Tesla’s business struggles, Musk’s role in government has become increasingly controversial. As head of the Department of Government Efficiency, he has faced scrutiny and political backlash, which some believe contributed to Tesla’s declining investor confidence.