SpaceX Had the Biggest IPO in History. That Doesn't Mean You Should Buy the Stock.
Put the superlatives aside and treat SpaceX like any other investment.
SpaceX Had the Biggest IPO in History. That Doesn't Mean You Should Buy the Stock.
Overview
Space Exploration Technologies' (NASDAQ: SPCX) initial public offering (IPO) last week didn't just break records; it blew them out of the water. SpaceX's $75 billion raise was almost triple that of Saudi Aramco's previous IPO record. SpaceX soared almost 20% on its first day of trading from the pre-IPO price, taking the company's market cap past $2 trillion and making it one of the 10 largest publicly traded U.S. companies.
That's all exciting, but neither the hype nor the size of its IPO is a good reason on its own to buy SpaceX. You might buy shares if you think founder and CEO Elon Musk can deliver an interplanetary reality. Or you might think SpaceX is overvalued and decide to pass or wait for the company to deliver more concrete results.
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Originally published at www.fool.com.
