The SpaceX IPO prospectus states that the company is targeting a TAM of $28.5T, equal to roughly a quarter of the world's gross economic output.

Patrick Boyle said it best. Roughly 1 billion people on the planet make more than $12k annually (folks with "discretionary" income). Divide that TAM of $28.5T by 1B and the every single person needs to give SpaceX ~$28.5K every year forever in order for that figure to make sense. It's more than 3x what the planet spends on food currently.

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narnarpapadaddy 5 hours ago | parent [-]

If this happened it would make Elon emperor of the known universe. Can’t imagine the level of influence this would buy.

It also seems impossible. What are people seeing that I don’t?

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ryandvm 4 hours ago | parent [-]

Nobody (with money to invest) actually believes that SpaceX or Tesla will ever catch up to their valuations. People investing in things like this only believe that somebody else believes it.

This will continue to work until they run out of morons willing to buy a stock with a PE of 300 at which point it will contract spectacularly.

	▲	narnarpapadaddy an hour ago \| parent [-]
		Are securities regulations so lax that pump ‘n dump schemes on a global scale get IPO’d? Are conmen so sophisticated that their plans take decades to mature and require sending rockets to space? Either or both of those being true is almost as mind-boggling to me. How is one supposed to navigate that world? Mass delusion seems like the most likely answer to me. I can point to instances of that at similar scales outside of tech/investing.