SpaceX Is a Secret Autonomous Driving Stock. Here's Why.
SpaceX will be critical to Tesla's self-driving future.
SpaceX Is a Secret Autonomous Driving Stock. Here's Why.
Overview
Now that the Space Exploration Technologies (NASDAQ: SPCX) initial public offering (IPO) is complete, expect the company to start deploying its newfound capital. Originally, the company doing business as SpaceX targeted a capital raise that would provide it with $75 billion in fresh cash. The IPO was so successful, however, that the company ended up raising closer to $86 billion.
If you're a fan of SpaceX, it's critical that you track the company's ongoing spending spree. SpaceX has a huge amount of growth potential ahead of it. Nearly all of its growth initiatives, however, are capital-intensive. Therefore, investors should expect the company to deploy its new capital hoard quickly and aggressively. With a market cap now north of $2 trillion, expect the company to raise even more capital in the future -- all of which should eventually end up in the hands of SpaceX's suppliers.
Details
Which company will benefit most from SpaceX's spending? Tesla (NASDAQ: TSLA) should be at the top of the list.
Source
Originally published at www.fool.com.
