Elon Musk is now richer than Warren Buffett

Elon Musk’s net worth soared past Warren Buffett as the chief executive officer of Tesla became the seventh richest person in the world, according to the Bloomberg Billionaires Index.

Musk’s fortune rose by $6.07 billion to $70.5 billion following a 10.8 percent jump in the electric carmaker’s stock on Friday and a hefty donation by Buffet.

Famous investor and a multibillionaire Buffett’s net worth dropped earlier this week when he donated $2.9 billion in Berkshire Hathaway stock to charity. Since 2006, he has gifted more than $37 billion worth of shares.

The 49-year-old owns about a fifth of Tesla’s outstanding stock, which comprises the bulk of his $70.5 billion fortune. His majority ownership of closely held Space-X accounts for about $15 billion.

Musk is the latest tech entrepreneur to rise above Buffett in the ranks of the world’s richest. Steve Ballmer, the former Microsoft Corp. CEO, and Google co-founders Larry Page and Brin also have leapfrogged the Oracle of Omaha. Indian tycoon Mukesh Ambani also surpassed Buffett this week.

Musk does not take any salary from Tesla, while Buffett has received $100,000 annually for decades. The riches of both men are largely due to the daily ups and downs of equities markets.

He has also said that Tesla stock is likely overvalued but that has not stopped investors from pushing the price hight to make it the most valuable car company.

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