Elon Musk, the CEO of Tesla and SpaceX, has reached a historic milestone by becoming the wealthiest individual ever, with a net worth of $334.3 billion, according to Forbes. This achievement follows a sharp rise in Tesla's stock, driven by renewed investor confidence linked to pro-business policies expected under U.S. President-elect Donald Trump, a known supporter of Musk.

Tesla shares have surged 40% since the U.S. election, including a 3.8% gain on Friday, pushing the stock price to $352.56, its highest in over three years. This recent rally added $7 billion to Musk’s fortune, allowing him to break the previous wealth record of $320.3 billion set during Tesla's pandemic-fueled growth in late 2021.

Musk’s vast wealth primarily comes from his 13% stake in Tesla, valued at $145 billion, alongside an additional equity award representing another 9% stake in the company.

Investor optimism has also been fueled by Musk’s alignment with Trump’s incoming administration. Musk has endorsed Trump and contributed over $100 million to his campaign, further cementing his influence. Additionally, Musk has been appointed as the chair of the new Department of Government Efficiency (DOGE), where he is working alongside entrepreneur Vivek Ramaswamy. Analysts expect deregulation policies from the Trump administration to benefit Tesla’s Full Self-Driving technology, which has faced regulatory challenges.

Musk’s wealth is also bolstered by his other ventures. His 60% stake in the artificial intelligence company xAI, valued at $50 billion, has added $13 billion to his fortune. Furthermore, his 42% ownership in SpaceX, now valued at $210 billion after a June tender offer, contributes another $88 billion. Speculation around SpaceX’s upcoming funding round, which could raise its valuation to $250 billion, suggests Musk’s net worth might grow by an additional $18 billion.

Musk is now $80 billion ahead of Larry Ellison, Oracle's chairman, who ranks as the world’s second-richest person with a net worth of $235 billion.