Sector Update: Tech Stocks Mixed Late Afternoon

Elon Musk‘s fortune skyrocketed past $300 billion on Friday, fueled by a sharp rally in Tesla Inc. 's stock after Donald Trump's election as the 47th U.S. president.

According to Forbes’ Real-Time Billionaires List, Musk’s net worth reached $305 billion — distantly followed by Oracle Inc. co-founder Larry Ellison at around $231 billion, and Amazon.com Inc. 's Jeff Bezos, who trails at approximately $225 billion.

Musk is now more than $100 billion richer than Meta Platform Inc.‘s CEO Mark Zuckerberg.

The electric carmaker's shares rocketed nearly 30% over the week, driving the company's market capitalization beyond the $1 trillion mark and delivering Musk a massive windfall.

Other than deriving much of his wealth from Tesla, Musk has also diversified his fortune in SpaceX, founded in 2002, which is worth nearly $210 billion based on a tender offer launched during the second half of 2024. Musk owns an estimated 42% stake.

Musk bought Twitter in a $44 billion (enterprise value) deal in 2022, although Forbes estimates that the social media company, which he renamed X, is worth nearly 70% less as of August 2024.

Musk owns an estimated 60% of xAI, which he founded in 2023. Private investors valued the company at $24 billion in May 2024.

Why Trump's Victory Was A Big Win For Musk

Trump's stance on tariffs, specifically on vehicles imported from Europe and China, could potentially make it tougher for foreign carmakers to compete in the U.S. market — an advantage that could drive up Tesla's market share on its home turf.

A Trump presidency would likely mean the end of EV subsidies and tax credits during Tesla’s second-quarter earnings call.

The impact would be slight for Tesla and devastating for its competitors. “But long term probably actually helps Tesla, would be my guess, yes,” Musk has said.

Musk has also been an active political backer for Trump's 2024 campaign, reportedly donating over $130 million to support his re-election efforts.

Trump’s victory speech didn't shy away from showing gratitude either.

As Forbes highlighted, Trump took nearly 4 minutes in his first speech to praise Musk, calling him a "super genius" and highlighting Tesla's achievements, from SpaceX's rocket launches to the expanding satellite internet network.

"A star is born — Elon!" Trump declared.

Musk has expressed enthusiasm about heading a proposed Department of Government Efficiency (D.O.G.E.), where he'd lead efforts to trim wasteful spending from the federal budget. Trump touted Musk as the ideal candidate to serve as the "Secretary of Cost-Cutting," potentially overseeing an ambitious plan to slash $2 trillion in federal expenses.

Musk’s Wealth Outpaces 475 S&P 500 Companies

To put his wealth into perspective, Musk could theoretically buy out companies in the S&P 500 with valuations smaller than his own, a list as big as 474 names.

Major corporations like Chevron , valued at $287 billion, and The Coca-Cola Company at $276 billion, are now "within reach" for Musk's personal fortune.

With $305 billion, Musk could also theoretically acquire three companies in the $100 billion range, like Prologis , Deere & Company and Lam Research Corporation , with cash to spare.

Read Next:

• S&P 500 Breaks 6,000 Points, Dow Soars Above 44,000, Small Caps Eye Strongest Week In 4 Years, Tesla Hits $1 Trillion: What’s Driving Markets Friday?

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Tech stocks were mixed late Friday afternoon with the Technology Select Sector SPDR Fund (XLK) decreasing 0.2% and the SPDR S&P Semiconductor ETF (XSD) gaining 0.5%.

The Philadelphia Semiconductor Index was shedding 1%.

In corporate news, ASML experienced a global IT outage on Friday affecting its facilities worldwide, Bloomberg reported. Its shares were down over 1%.