During the dot-com boom era, Musk was a co-founder of the original X.com, which ultimately became PayPal (PYPL -2.83%). He was CEO of PayPal until 2000 and owned 11.7% of the company's shares at one point. He no longer has a stake in PayPal, although he owned shares before the company was acquired by eBay (EBAY +0.41%) in 2002.
He received more than $100 million for his stake after cashing out. Today, Musk's PayPal stake would be worth billions of dollars. However, since he used the proceeds to fund both Tesla and SpaceX in their early days, it's tough to make the case that cashing out was a bad move.
Elon Musk's private equity
Musk founded and still controls several companies, but SpaceX is, by far, the largest. He owns about 42% of the space exploration technology company, which was valued at roughly $350 billion as of the fourth quarter of 2024.