In this special edition of Equity, the hosts discuss SpaceX's historic IPO, the largest in history, which debuted on the Nasdaq at around $150 per share and valued the company at over $2 trillion. They explore Elon Musk becoming the world's first trillionaire, the challenges of SpaceX's transition into an AI company, and the implications for upcoming IPOs from Anthropic and OpenAI.
Summarized by Podsumo
SpaceX's IPO was the largest in history, with $70 billion raised and nearly 300 million shares traded on day one, despite a relatively small float of only 4% of total shares.
Elon Musk is now the world's first trillionaire, and the IPO has made many SpaceX employees and early backers millionaires.
SpaceX's valuation is heavily tied to its pivot into an AI company, with plans for orbital data centers and compute deals with Google and Anthropic, though many engineering challenges remain.
The IPO's massive size caused a ripple effect in the stock market, with funds pulled from other tech and AI stocks to make way for SpaceX, leading to volatility earlier in the week.
The hosts speculate that unlike Elon Musk's cult of personality, Anthropic and OpenAI lack his 'backstop' of investor faith, making their upcoming IPOs riskier propositions.
"Elon Musk now runs two public companies, exactly what he's always wanted. He's become the world's first trillionaire."
— Host
"Gwen Shotwell, who runs the day-to-day at SpaceX, likes to say that they take the impossible and make it late."
— Host
"Never bet against Elon."
— Common investor sentiment mentioned by Host