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Amazon’s Market Value Drops by USD 134 Billion

Amazon’s Market Value Drops by USD 134 Billion

– Amazon shares fell by 8.8 percent on August 2, resulting in a USD 134 billion reduction in the company’s market value and a $15.2 billion drop in Jeff Bezos’s net worth, bringing it down to $191.5 billion.

– This event marks Jeff Bezos’s third-largest single-day financial loss, following a $36 billion decrease in April 2019 due to his divorce and a 14 percent share drop in April 2022.

– The recent market turmoil, which has erased over $2 trillion in value over the past three weeks, is linked to disappointing earnings reports, concerns about the AI industry’s sustainability, and anticipation of the US Federal Reserve’s rate cut announcement.

Amazon shares fell by 8.8 percent on August 2, erasing $134 billion from the tech giant’s market value, according to Bloomberg. This decline significantly impacted billionaire founder Jeff Bezos, whose net worth dropped by $15.2 billion, settling at $191.5 billion, as reported by the Bloomberg Billionaire Index (BBI).

This marks the third-largest single-day loss for Bezos, following a $36 billion decline in April 2019 after his divorce announcement and a 14 percent share drop in April 2022.

Bloomberg also noted that tech billionaires collectively lost $68 billion in net worth last Friday. Over the past three weeks, the markets have wiped out more than $2 trillion, attributed to disappointing earnings reports, concerns over the artificial intelligence (AI) boom’s sustainability, and anticipation of the United States Federal Reserve’s rate cut announcement.

Bezos, who ranks second only to Elon Musk in personal wealth, has been steadily selling Amazon shares throughout the year. In February, he sold $8.5 billion worth of stock over nine days. Last month, he announced plans to sell an additional 25 million shares, valued at $5 billion.

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