Jeff Bezos, the founder and executive chairman of the American multinational technology company Amazon, has seen his net worth fall by $61 billion since the beginning of the year, as Amazon shares lost all of their gains from the pandemic.
Amazon shares were worth $2,068 per share at the time of this report’s writing on Tuesday, down just 3.6 percent from their closing price on the tech-heavy NASDAQ Stock Exchange this morning.
Amazon last traded around these prices in February 2020, before falling along with the rest of the market in April 2020 during the initial pandemic uncertainty in the United States.
Despite rising above $3,500 in the fourth quarter of 2021, Amazon shares have lost nearly all of their gains from the pandemic, reducing the net worth of its founder, Jeff Bezos, who derives the majority of his wealth from the stock.
Since the beginning of 2022, Amazon’s stock has dropped by more than 38 percent, from $3,408 per share at the start of the year to $2,067 at the time of writing.
As a result, Bezos’ net worth has dropped from $192 billion to $131 billion at the time of writing, a drop of more than $61 billion.
Aside from posting its slowest revenue growth since the dot-com bust and providing a forecast for the current quarter that fell short of Wall Street’s expectations, shifting market conditions have added another challenge to the stock, as investors began to exit tech stocks at the end of last year, prompted by rising inflation and the threat of higher interest rates.
Portfolio rotation activities in favor of companies with strong fundamentals, which has resulted in the sell-off of Amazon and other technology stocks such as Apple, Alphabet, and Facebook parent-Meta, have been accelerated by Russia’s military operation in Ukraine and the accompanying sanctions.
Stocks have fallen further in recent days after the Federal Reserve raised its key interest rate last week on Wednesday.