SpaceX in 5 Years: Boom, Bust, or Quietly Crushing It?
Written by Ryan Vanzo for The Motley Fool -> SpaceX claims a total addressable market of $28.5 trillion. Most of that potential focuses on a single opportunity worth $26.5 trillion. The SpaceX IPO is quickly approaching. While there are ways to invest in SpaceX today , most in
Most of that potential focuses on a single opportunity worth $26.5 trillion.
The SpaceX IPO is quickly approaching. While there are ways to invest in SpaceX today , most investors are simply better off waiting for shares to be publicly available.
According to reports, SpaceX is targeting a $1.77 trillion valuation, raising as much as $75 billion in new capital. That capital will be quickly deployed as SpaceX believes it has a total addressable market of $28.5 trillion.
Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue »
Not every expert is excited about the IPO. A recent Morningstar report concludes that the entire company is currently worth just $780 billion -- less than half of SpaceX's top-end valuation range. "[L]ong-term investors eager to participate in SpaceX's future endeavors and potential success will have opportunities to do so with a greater margin of safety than the initial offering is likely to provide," one of Morningstar's analysts warns.
In short, Morningstar is excited about SpaceX as a business, but not as an investment if the company has an initial valuation between $1 trillion and $2 trillion, as is likely the case.
Most IPO stocks show heavy volatility when shares first hit the market. I expect the same for SpaceX. But what about far beyond the upcoming IPO? What will the company look like five years from now? Based on the company's recently published IPO prospectus, we have a pretty good idea of what to expect.
Want to know what SpaceX will look like five years from now? Look no further than how the company describes its growth opportunities moving forward. According to the company's latest IPO disclosure:
