SpaceX is the most interesting speculation stock on the market. The price range for this company falls between $53.61 and $382.13 a share.
The company just delivered an earning’s beat which might’ve excited management enough to make promises that can be hard to keep.
In quarter 2 SpaceX beat revenue estimates of $6.8 billion, posting $7.8 billion. The company is expecting end of the year revenue of $100 billion, an explicitly aggressive estimate.
SpaceX has a pending acquisition for an AI company called Cursor which is supposed to b e for $60 billion. Cursor is really just an AI wrapper of Musk’s Grok technology, making the acquisition seem expensive an unnecessary.
Google has recently entered into a deal with SpaceX for its cloud computing capabilities, valued at about $920 million a month. SpaceX also signed a 6 month deal with the U.S. government for $6.7 billion.
So far, these deals don’t seem to push SpaceX to the $100 billion range. Either the company plans on starlink being the only internet provider in the world by the end of the year, or it has some major deals coming in.
I wouldn’t touch this stock with a 10-foot pole. As business progresses we’ll be able to get a better understanding of the company and figure out its direction, but currently it’s a shot in the dark.
Analysts like Sevens Report Research founder Tom Essaye might say things like, “Betting against Elon Musk has been a fool’s errand time and time again,” but he, just like everyone else, is still waiting on his trip to mars.
