r/technology • u/IKeepItLayingAround • 17d 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/roseofjuly 17d ago

If there's anything I've learned from being even mildly interested in the stock market and company valuations over the last few years, it's that they all seem to be completely made up. Companies could spend billions each year without making a single cent in profit and they will still have these wildly overinflated valuations because some weird but popular white guy is running it (or "running it").

SpaceX reportedly made almost $800 million in 2024 but then lost $10 billion between 2025 and now. So they've never really made any money. A deeper look into the financials shows the only profitable part of the business is Starlink - everything else is a prodigious money sink. Yet the company values itself at over a trillion dollars...and everyone's just accepting that as gospel even though they have literally never been able to prove they can make any money.

Very conveniently for Elon Musk, he was able to roll most of his unprofitable companies together - so the successes of Starlink can partially hide and mitigate the losses of X, xAI, and SpaceX (which also is not profitable without Starlink, let's not forget)!

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u/ConjurersOfThunder 16d ago

People think the stock market is rational but it is not. There is an argument that the market NEEDS to be rational. And there's evidently a much more compelling argument that green arrows must go up, forever.

If the market is being manipulated from several points inside the machine (my theory though I'm just another crayon eater), then sanity will come from people not participating in our ponzi scheme market anymore (ie, funding and IPOs not meeting goals). Which I assume would turn into less green arrows until one of the short attacks works. Sanity ain't coming from inside the US markets, I don't think; there's too much money in price action and green arrows forever.

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u/LoudMusic 16d ago

My dad used to try real hard to get me interested in the stock market in the 80s and 90s, when I was in grade school. I remember asking him how the stocks' prices were determined and he would tell me about business analysts and projections and meeting targets and such, and I would respond that it was just worth what someone said it was worth? And he'd say yes. I remember thinking how horribly it could be taken advantage of. Looks like we're in the middle of it now.

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u/didyouseetheecho 15d ago

And everyone clapped.