SpaceX IPO: Don't Buy the Stock Before You Understand the Company's $26.5 Trillion Pivot
You can't spell SpaceX without "space," but the company could be shifting its focus to another hot tech trend.
SpaceX IPO: Don't Buy the Stock Before You Understand the Company's $26.5 Trillion Pivot
Overview
SpaceX (NASDAQ: SPCX) is primed for a record-setting initial public offering (IPO) on June 12, with the company setting a fixed initial price of $135 per share, valuing the space-tech leader at a whopping $1.77 trillion. Elon Musk's company is poised to have the largest-ever public debut by market capitalization, and the extent to which the IPO is a success could create significant valuation ripple effects for the broader market in the near term.
But while SpaceX is probably best known for its rocket launches and Starlink internet services, it's actually looking to another tech category as its biggest growth driver: artificial intelligence (AI). In the IPO prospectus that it filed with the Securities and Exchange Commission (SEC) last month, the company outlined a massive $28.5 trillion total addressable market (TAM) -- and AI accounts for a whopping $26.5 trillion of that estimated figure.
Details
Here's why that's important for investors ahead of SpaceX's market debut.
Source
Originally published at www.fool.com.
