Topline
Meta founder Mark Zuckerberg overtook Amazon’s Jeff Bezos to become the world’s third-wealthiest person Thursday, as Meta’s stock surged in the wake of yet another earnings beat for the firm.
Zuckerberg’s stake in his company surged after Meta’s earnings smashed Wall Street’s estimates.
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Key Facts
Zuckerberg’s net worth jumped nearly 12% to $268.4 billion Thursday, an increase of about $28.4 billion, as Meta’s share price rallied more than 11%, pacing what would be the stock’s second-largest increase on the year.
Zuckerberg, who holds a 13% stake in Meta, surpassed Amazon chairman Bezos ($247.4 billion) to become the third-richest person in the world, according to Forbes’ real-time billionaires list, even as about $4.5 billion was added to Bezos’ net worth as Amazon shares jumped nearly 2%.
Elon Musk remains the world’s richest person by far with a fortune valued at $403.5 billion as of Thursday, followed by Oracle chairman Larry Ellison ($306 billion) in second.
Big Number
40%. That’s how much Meta’s share price has increased since falling to its lowest point this year in April.
Why Is Meta’s Stock Rallying?
A surge in Meta’s share price and Zuckerberg’s fortune comes a day after the company reported second-quarter revenue and earnings that came well above projections. Meta reported $47.5 billion in revenue and $7.14 earnings per share, an annual increase of 22% and 38%, respectively, as the firm reported its 10th-straight quarter with a profit beat and its 12th straight for topping revenue estimates. Many investors focused on the company’s increased spending on artificial intelligence in recent months, as Meta announced an uptick in capital expenditures while it “aggressively [pursues] opportunities” related to its “artificial intelligence efforts and business operations.”
Tangent
Microsoft on Thursday became the second company to reach a market valuation of $4 trillion, joining Nvidia, as shares rose about 4%. Former Microsoft CEO Steve Ballmer, who holds a roughly 3% stake in the company, added about $4.9 billion to his net worth ($149 billion) during the company’s latest rally. Ballmer is the eighth-richest person in the world, according to our latest estimates, directly behind Google’s Sergey Brin ($151.5 billion) and right ahead of LVMH CEO Bernard Arnault ($142.9 billion).
