Is it possible that people who don't care about short term profitability but still want a strategic ownership of the company bought at a high price on IPO day and now that the day traders are in, speculation will readjust the price to short term values? The change of price just reflect the different buyer profiles.

SpaceX is a pretty important company not just for "the market" but also for many other things (see Russia/Ukraine war).

Fair warning: I know nothing about all this.

But why would you want to buy a company where the valuation reflects an extremely optimistic outcome already? Basically you are assuming obscene growth from SpaceX in AI, datacenters, rocket launches etc just to for the stock to go nowhere. The market cap was over 2T!

When you buy equities, if the company turns out shockingly successful beyond most peoples probable expectations you dont simply want your investment to just stay flat, you want to make multiples of your money. In order to do this, you simply cant start from a 2T marketcap. No company worth 2T can make you 100x your money or even 10x or 5x your money in a reasonable amount of time given the overall size of the economy.

It's all a bit of a mess with the consolidation of multiple businesses.

> SpaceX is a pretty important company not just for "the market" but also for many other things (see Russia/Ukraine war)

Starlink, which was rolled in to SpaceX, is/was profitable and it is a factor in Ukraine.

The rocket division is not profitable, but I sense that there might be a path to a profitably operating business.

As for the X/xAI piece, who knows? Long-term it seems like a moon-shot. I appreciate the irony that it's in the wrong division.

Buying at a high price just gives money to the early investors, the company itself doesn't get richer unless they're doing a raising capital round, but after an IPO you're just giving liquidity (+ profit) to early investors.

If you wait till the price comes down to its natural level, you'll be able to buy more of the company for less money.

What is your idea of strategic ownership? Musk has voting control, everyone else is along for the ride.

There are no "pretty important" companies with the relatively meager revenues SpaceX has got.

> SpaceX is a pretty important company not just for "the market" but also for many other things (see Russia/Ukraine war).

True, if Twitter and xAI stopped existing, there would be an uproar from all the suddenly unemployed disinformation botters.

SpaceX / Musk is the company which will build the Dyson Swarm. This is an opportunity to get in at the ground level.