SpaceX Is Spending $18.4 Billion a Quarter. Should Investors Be Worried?
The company's capex numbers look frightening at first glance, but there's a much more important question hiding underneath them.
Overview
Space Exploration Technologies (NASDAQ: SPCX) generated $7.8 billion of revenue in the second quarter. It also racked up $18.4 billion in capital expenditures.
For investors, that immediately raises an uncomfortable question: Is SpaceX spending too much?
Details
It's a fair question. But looking at those $18.4 billion in outlays in isolation misses the bigger picture. SpaceX isn't spending that money simply to maintain its current business. It's spending aggressively to build the businesses it hopes will power the company for the next decade.
Source
Originally published at www.fool.com.
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