Elon Musk’s net worth dropped by $14 billion on Monday after Tesla shares tumbled 7%, a sharp reaction from investors spooked by his surprise announcement of a new political organization—the America Party. The move has reignited concerns about Musk’s focus, as his high-profile clash with President Donald Trump and growing political involvement draw criticism from Wall Street.
Despite the setback, Musk remains the world’s richest person with a net worth of $393 billion, according to Forbes. Still, analysts say his political foray is rattling confidence in Tesla’s future.
Wall Street Worries
Tesla stock’s recent slide reflects growing investor impatience. William Blair’s Jed Dorsheimer downgraded the stock from “buy” to “hold,” citing Musk’s political distractions and tougher EV regulations under Trump’s new tax bill. Even longtime Tesla bull Dan Ives of Wedbush warned that Musk’s political ambitions are “at odds” with what shareholders want.
Since Trump’s return to office in January, Tesla shares have fallen 31%—even as the S&P 500 gained 4%. The divergence signals growing discomfort over Musk’s public fights and perceived shift in priorities.
Public Opinion Sours as Sales Drop
Musk’s personal brand is also taking a hit. A recent Silver Bulletin poll average shows 55% of Americans now view him unfavorably, up from 45% six months ago. Tesla’s performance reflects that sentiment: the company posted record-breaking delivery declines in the first two quarters of 2025, and J.P. Morgan analysts project this could be its weakest sales year since 2022.
Trump-Musk Feud Escalates
The Tesla CEO’s recent criticism of President Trump’s “Big Beautiful Bill” ignited a war of words that culminated with Musk launching the America Party over the weekend. In response, Trump slammed Musk as “a train wreck” on Truth Social and threatened to cut federal subsidies to Musk’s companies.
FAQs
How much did Elon Musk lose?
Musk’s net worth fell by $14 billion on Monday.
Is he still the world’s richest person?
Yes, despite the hit, Musk still tops the global wealth rankings with $393 billion.
What did Trump say about Musk’s new party?
The former president called Musk “a train wreck” following his political announcement.
