Tesla Drops 18% Weekly, SpaceX Continues Slide as Musk Loses $130 Billion, Jokes 'Former Trillionaire'

This week has been rough for Elon Musk. According to CNBC, Tesla (TSLA-US) shares plummeted 18% this week, closing Friday at $313.03—the worst weekly performance since 2022. SpaceX (SPCX-US) also continued its decline, falling 7.2% over five trading days and closing Friday at $115.07, the lowest level since the company’s record-breaking IPO last month.

The drop in both stocks erased around $130 billion from Musk’s wealth, just weeks after he became the world’s first trillionaire.

On Friday, Musk posted on X: “(Former) trillionaire.”

Tesla’s sharp decline came after the electric vehicle maker reported second-quarter earnings after Wednesday’s market close that missed expectations. Heavy investments in future projects such as Robotaxi, humanoid robots, and a massive chip factory turned Tesla’s free cash flow negative.

Argus Research, which rates Tesla stock as a “hold,” said in a Friday report: “We expect this to pressure free cash flow and delay profit growth, with no returns to shareholders in the near term. We believe Tesla is almost incapable of achieving stable profit growth in the short term.”

Tesla is down 30% year-to-date, making it the worst-performing major tech stock.

Meanwhile, SpaceX’s stock, which initially surged after its IPO, has been on a downward trend over the past month. In the past five weeks, SpaceX has closed lower in four, with its current price down about 43% from its June 16 closing peak.

On Friday evening, SpaceX attempted its 13th test flight of Starship, the largest rocket ever built and flown. The company plans to launch the new Starship V3 from its company town and launch facility in Starbase, Texas.

Designed for full reusability, this rocket is seen as key to SpaceX’s near-term expansion of its Starlink satellite network.

SpaceX aims to use Starship to return American astronauts to the Moon, and Musk ultimately hopes the rocket will carry humans to Mars.