Elon Musk’s SpaceX has surpassed Tesla Inc. to become his most valuable asset, as Tesla’s stock continues to decline.
What Happened
Tesla’s stock value has seen a significant drop, following Musk’s involvement in the Department of Government Efficiency. This development led to a 50% plunge in Tesla’s stock from its December high, as investors questioned Musk’s ability to juggle his responsibilities.
Challenges Facing Tesla
The situation worsened for Tesla in January, as it reported a meager 1% revenue growth to $97.7 billion in 2024, with net income falling for the second consecutive year to $8.4 billion. Additionally, reports of declining Tesla car sales in Germany, China, and Australia in early 2025 have added to the company’s woes. Protests against Tesla and Elon Musk have broken out at Tesla dealerships across the U.S. since February.
SpaceX’s Rise to Prominence
On the other hand, SpaceX’s value has skyrocketed. Musk’s 42% stake in SpaceX is valued at $147 billion, nearly $20 billion more than his Tesla stock and options. SpaceX’s revenue grew by 51% to $13.1 billion in 2024, with projected revenue from SpaceX’s Starlink satellite internet service nearly doubling to $8.2 billion.
Impact on Elon Musk’s Net Worth
Notably, SpaceX and Tesla continue to account for over 80% of Musk’s estimated $329 billion net worth. The shift in Musk’s most valuable asset comes at a time when Tesla is facing a crisis of confidence among investors.
Why it Matters
Top analyst and Tesla bull, Dan Ives of Wedbush, has urged Musk to reaffirm his commitment to Tesla and outline a clear plan for the launch of its new lower-cost vehicles and full-self-driving car. Meanwhile, SpaceX continues to make strides in the space industry, including the successful return of NASA astronauts from a 286-day mission aboard a SpaceX Dragon capsule.
Current State of Tesla
Tesla stock has plunged more than 30% over the past month, closing at $236.26 on Thursday. Despite the challenges, Musk remains hopeful about Tesla’s future, stating that the company will “be fine long-term.”
Key Takeaways
- SpaceX has surpassed Tesla as Elon Musk’s most valuable asset
- Tesla’s stock has declined significantly due to Musk’s involvement in the Department of Government Efficiency
- SpaceX’s value has skyrocketed, with revenue growing by 51% to $13.1 billion in 2024
- Musk’s net worth is estimated to be $329 billion, with SpaceX and Tesla accounting for over 80% of his wealth.