Elon Musk Has Become the 7th Richest Person in the World

Well it was only a matter of time with the way electric vehicle maker Tesla has had it shares soaring this year that CEO Elon Musk would be reaping the rewards.

Musk has now overthrown Warren Buffett on the list of wealthy as Tesla shares keep breaking records.
The chief executive has become the seventh-richest person in the world this month. As of this past Friday, Musk was worth about $70.5 billion. This is about $1 billion more than Buffett, after the company’s stock hit an all-time high that day.

Tesla continued to soar even higher on Monday hitting a new record high. Shares soared 12% in morning trading and brought the company’s market valuation to $325 billion, making it the 10th-largest U.S. stock by market value.

Earlier this month the company topped Toyota to become the largest automaker in the world by market value.

The stock is up more than 55% in July alone. Not long ago Tesla had reported that it beat delivery estimates in the second quarter, with about 90,650 vehicles delivered. Analysts polled by FactSet had been expecting 72,000.

Shares of Tesla have exploded over 300% this year so far.

Larry McDonald, editor of The Bear Traps Report has remarked in a note, “By buying up Tesla TSLA now, front-runners are forcing the S&P Indexes to give the stock a higher and higher weighting. Thus, ETFs / Indexes will be forced to pay up, buying even more shares. Then the hot money exits, leaving indexes holding the bag.”

JMP Securities’ Joe Osha told clients that Tesla will earn $100 billion in annual revenue by 2025.

According to estimates compiled by FactSet, the highest price target for Tesla on Wall Street is $1,525.

Disclaimer: We have no position in Tesla Inc. (NASDAQ: TSLA) and have not been compensated for this article.