Elon Musk ‘on schedule’ to become richest man on earth?
Both visionary and controversially, Elon Musk has more than a reason to dance these days, as it looks he is ‘on schedule’ to cash his first 346 million dollars bonus of the 50 billion he will get if all targets are met by 2028. Combined with his shares of Tesla and other companies like SpaceX, it would probably make him the richest man on earth at the age of 56, long before retirement.
After two dreadful years of controversy where appearances were against him and his critics portrayed him as a ‘storyteller’, Tesla’s stock exchange value is 97 billion dollars today, nearing the cape of 100 billion. It makes Tesla worth more than traditional American carmakers Ford and General Motors combined.
Targets to be met
In 2018, while Tesla was valued 53 billion dollars and the company faced production problems with the Model 3, the board decided to grant Elon Musk options and bonuses if certain targets were met. Today Musk still earns a minimum wage for himself.
The 100 billion dollar value of the company is one of those targets. At that moment, Musk gets the first part of 1,7 million shares, worth 346 million dollars. In ten years, Musk could earn 20,2 million Tesla shares if he reaches the other 11 targets set.
Becoming 6,5 times more worth
But that would require Tesla to reach a market value of 650 billion dollars, 6,5 times more than today. A Tesla share would be valued at 3.606 dollars compared to 533 dollars today. And there are targets set in return of the company too. The first of 20 billion dollars is raked in already, being 24 billion today. For the last slice of the pie, that would require a 175 billion dollar return.
If the Tesla share sells at 3.606 dollars by 2028, Musk options of 38,6 million shares would be worth 139 billion dollars. So with the 50 added, a total of 189 billion dollars. And there are Musk’s other companies, with The Boring Company, digging a transport system under Los Angeles and Vegas, among others, and not to mention SpaceX.
A man on Mars
The latter, still privately owned, is the market leader for launching satellites, and if all goes well, SpaceX will be sending its first astronauts to the International Space Station this year, the first step to Musk’s ultimate dream: putting a man on Mars.
Not bad for a man having found the time in between to have six children with his first wife, Justin Wilson, and his seventh heir on the way with his 17 years younger girlfriend-musician, Claire ‘Grimes’ Boucher.