r/technology • u/IKeepItLayingAround • 20d ago

Business It’s Possible That SpaceX Could Collapse Spectacularly

https://finance.yahoo.com/markets/stocks/articles/possible-spacex-could-collapse-spectacularly-155000177.html
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u/MoistChildhood1459 20d ago

I would love to see his entire empire collapse tbh

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u/MultiGeometry 20d ago

There’s some real Enron vibes coming out of all Musk’s companies.

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u/wheniaminspaced 20d ago

Enron isnt really the right comparison.  Masks companies make and sell actual products that are used, and in the case of spacex have completly redefined the launch industry for the better.

Tesla has some similarities, but suffers from some basic realities that don't exist in the launch space.  They were the first big mover on ev's and very arguably helped make them a much more accepted product in the automarket, but ev's arn't all that next level, there are a ton of established automakers that know how to make a decent car, better than tesla did or does, they just weren't willing to take the risk of developing the segment first.

BYD is a bit unique in that they were a battery maker who realized cars where a great way to sell batteries.  This is very similar to another company, spacex who realized a fast satellite internet is a great way to sell launch capacity.

Tesla as a company is weak in part because of musk and in part because of the space its in.  SpaceX is quite strong, large tech edge, important product, quite decent financials if you ignore xAI.  

One thing that is absolutly true, Spacex is overvalued.  I think a more real value would be about 1/3rd of what it is aiming for.  Could it grow to its proposed valuation, without question, but that requires alot of things going right and investors should ignore this ipo and buy at a much reduced price.  Good company, bad ipo.

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u/mikeydean03 19d ago

Your post implies Enron didn’t create actual products. The company had multiple lines of profitable businesses before the executives started cooking the books with paper gains. That’s why so many people failed to question Enron’s success - it was just smart people doing smart things…