Elon Musk's net worth falls back under $200 billion after Tesla shares slide to a 1-year low

• Elon Musk's wealth is now less than $200 billion, according to Forbes' Real-Time Billionaires list.
• The world's richest man has lost just under $4 billion as Tesla's share price plunged this year.

Elon Musk's wealth has dropped back below $200 billion after Tesla's share price tumbled as the company's CEO bid for and bought Twitter.

His net worth was $197.4 billion at the closing bell Tuesday, a drop of $3.9 billion from the day before, according to Forbes' Real-Time Billionaires list.

Tesla shares fell 2.93% to close at $191.30 Tuesday, after the electric vehicle maker said it was recalling 40,000 vehicles over a power-steering flaw. Musk owns about 17% of the company, according to a recent filing.

"It's been another tough day at the office for Tesla after the electric car maker announced another recall," AJ Bell financial analyst Danni Hewson said.

"Shares have tumbled more than 40% since the start of the year, and investors might be getting pretty fed up with Elon Musk sticking his nose into just about everything, including the mid-terms," she added.

The uncertainty surrounding Musk's recent takeover of Twitter has also weighed on Tesla this year, analysts said. Its stock is down over 45%, year to date.

Musk sold 19.5 million of Tesla shares — worth around $3.95 billion— after he completed his buyout of Twitter, a Securities and Exchange Commission filing published Tuesday showed.

He last sold Tesla shares in August — nearly $7 billion worth — when he suggested he was raising cash in case he was forced to go through with his offer to buy Twitter.

Musk acquired an estimated 82% of Twitter on October 28, ending a six-month-long battle over a takeover that he tried to back out of.

Musk's fortune has plunged by over $74 billion since April, when he said he wanted to take the social media company private, according to Forbes.

He remains the world's richest man despite that loss of wealth, with a higher net worth than LVMH chief executive Bernard Arnault ($159 billion), Indian industrialist Gautam Adani ($145 billion), and Amazon founder Jeff Bezos ($114 billion), per Forbes.

Read more: Elon Musk has sold nearly $4 billion worth of Tesla shares following his $44 billion Twitter buyout