Musk sets a new record: net worth exceeds $749 billion thanks to Tesla's legal victory

Historical Wealth Peak

Elon Musk’s net worth has reached an unprecedented level of $749 billion after a court case concluded in his favor. This event not only restored his financial standing but also strengthened his position as one of the wealthiest people on the planet. The decision of the highest court officially recognized the legality of Tesla’s large CEO compensation package.

Court Decision: A Turning Point

The Delaware Supreme Court on Friday overturned a previous ruling that nullified Musk’s compensation package from Tesla, developed in 2018. While the court agreed with several procedural violations, it ruled that completely canceling the compensation was an excessive penalty. The court acknowledged that Musk fully met all the financial targets and performance metrics set by the corporation to earn the reward.

Compensation Amount: from $56 billion to $139 billion

The restored compensation package is now valued at approximately $139 billion, significantly exceeding the initial estimate of around $56 billion. This increase in value was driven by a substantial rise in Tesla’s stock price over recent years. This restoration of compensation is a rare example of a court case where the highest court restored justice after earlier judicial errors.

History of the Legal Dispute

The lawsuit began seven years ago when a Tesla shareholder challenged the approval of the compensation plan, claiming that the company misled investors when it was adopted. In 2024, Chancellor Kathleen McCormick ruled against Musk, nullifying the entire compensation package due to serious procedural violations. Despite a subsequent shareholder vote that reaffirmed the compensation plan, the initial decision remained in effect until intervention by the Supreme Court.

Expansion of Influence and Control

This court ruling restores Musk’s full voting rights at Tesla, allowing him to strengthen his control over the company’s strategic direction and future development. Such an increase in influence is seen as a positive signal for investors who believe in the CEO’s vision for the development of electric vehicles and innovation.

The Outlook for a Trillionaire

Musk’s recent wealth growth comes amid investor optimism about his financial prospects. The valuation of SpaceX reportedly reached $800 billion, significantly contributing to his overall wealth. Analysts and investors are increasingly confident that Musk could achieve trillionaire status within the next few years, possibly by 2029, if current growth trends continue.