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Student: “So Elon Musk is a trillionaire?”Me: “Yup.”Student: “How did he get that much money?”Me: “Well, he doesn’t really have a trillion dollars cash. -
Student: “So Elon Musk is a trillionaire?”Me: “Yup.”Student: “How did he get that much money?”Me: “Well, he doesn’t really have a trillion dollars cash. -
Student: “So Elon Musk is a trillionaire?”Me: “Yup.”Student: “How did he get that much money?”Me: “Well, he doesn’t really have a trillion dollars cash.@david_chisnall @ananas @zeenix @nswigger To be precise, only the circulating or outstanding shares should be considered. When companies do stock buybacks (instead of paying taxable dividends), they're effectively reducing the outstanding shares to increase the stock price. In sum, the market value should remain the same though.