Elon Musk witnessed a jaw-dropping increase in his wealth following Donald Trump's victory in the 2024 election.
Data from the Bloomberg Billionaires Index showed Musk's net worth soaring by $26.5 billion in a single day on Wednesday, lifting his total wealth to an unprecedented $290 billion.
Musk reportedly contributed $118 million to Trump's campaign, an amount that has already been dwarfed by the returns generated from the post-election Tesla Inc. (NASDAQ:TSLA) rally.
The electric vehicle giant surged 16.2% on Wednesday, hitting the highest levels since July 2023.
Musk's one-day gain of $26.5 billion on Wednesday translates to a staggering 22,357% of his recent campaign contribution.
The world's richest man, who holds approximately 20% of Tesla's shares, maintains nearly 75% of his wealth linked to the performance of Tesla's stock in the market.
Tesla's Stock Exploded Under Trump's First Term
Tesla's stock performance under Trump's previous presidency was phenomenal.
During Trump's first term from November 2016 to November 2020, Tesla shares surged 987%, yielding annualized returns of about 84%.
This growth transformed Musk's net worth from $8 billion in 2016 to $107 billion by the end of Trump's term—a jaw-dropping 13-fold increase.
In contrast, Tesla's growth has been more tempered under President Joe Biden's administration. Since Biden's win in November 2020, Tesla's stock has appreciated by about 86.5%, yielding annualized returns of around 16.2% — still significant but a far cry from the near 1,000% growth seen during Trump's previous term.
| Period | Tesla Stock Growth | Annualized Return | Musk's Net Worth Increase |
|---|---|---|---|
| Trump (Nov. 2016- Nov.2020) | +987% | ~84% | $8B to $107B (13x) |
| Biden (Nov. 2020- Nov. 2024) | +86.5% | ~16.2% | $107B to $262B (2.5x) |
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