Elon Musk is now richer than Warren Buffet as Tesla stock rockets 14% to an all-time high of 14%

Elon Musk is now richer than investor Warren Buffet, thanks to a record rise in the price of Tesla stock that briefly shot up as much as 14 per cent to raise the company’s valuation up to $321 billion on Monday. 

The gains were erased during a period of volatility, but were back up about 3 per cent during late afternoon trading. For the year, the stock is up more than 300 per cent.

The latest record-setting increase came as speculation rose that with Tesla’s continued increase in market value, the company will soon join the S&P 500. 

Musk’s net worth had soared past Buffett just three days earlier, making as the Tesla became CEO the seventh richest person in the world, according to the Bloomberg Billionaires Index.

The gains were erased during a period of volatility. The gains were erased during a period of volatility, but were back up about 3 per cent during late afternoon trading.

Musk’s fortune rose by $6.07 billion on Friday, Bloomberg News said, following a 10.8 per cent jump in the electric carmaker’s stock.

Buffett’s net worth dropped earlier this week when he donated $2.9 billion in Berkshire Hathaway stock to charity, the report added.

Tesla’s shares have surged 500 per cent over the past year as the company increased sales of its Model 3 sedan.

Musk’s fortune rose by $6.07 billion on Friday, Bloomberg reported, following a 10.8 per cent jump in the electric carmaker’s stock. Buffett’s net worth dropped earlier this week when he donated $2.9 billion in Berkshire Hathaway stock to charity

The blistering rally also puts Musk in reach of a payday potentially worth $1.8 billion, his second jackpot from the electric car maker in about two months.

The stock is up about 38% since the close on July 1, a day before the company reported its quarterly delivery numbers.

Tesla’s solid delivery numbers heightened expectations of a profitable second quarter, which would mark the first time in its history that it would report four consecutive quarters of profit. 

Tesla’s solid delivery numbers heightened expectations of a profitable second quarter, which would mark the first time in its history that it would report four consecutive quarters of profit. Pictured is the EV maker’s Mode 3 sedan

As the market keeps close watch on Tesla’s rising valuation, Musk last week said the company is ‘very close’ to achieving complete autonomous driving technology, referring to the capability to navigate roads without any driver input.

‘I’m extremely confident that level 5 or essentially complete autonomy will happen and I think will happen very quickly,’ Musk said in remarks made via a video message at the opening of Shanghai’s annual World Artificial Intelligence Conference Thursday.

‘I remain confident that we will have the basic functionality for level 5 autonomy complete this year.’

Tesla is also developing new heat-projection or cooling systems to enable more advanced computers in cars, Musk said.

Tesla, other automakers and tech companies, including Alphabet-owned Waymo and app-based ride share company Uber, are investing billions in the autonomous driving industry.

However industry insiders have said it would take time for the technology to get ready and public to trust autonomous vehicles fully.

The California-based Tesla currently builds cars with an Autopilot driver-assistance system, which still requires some human input.