Musk has created a different kind of scaffolding to obscure the truth.
Important ⬇️
Only 4% of Spacex stock went on sale yesterday.
Of that most to prearranged institutions.
It’s a show to lure investors
FYI, if Bloomberg's reporting is correct that 70% of the IPO went to "long-only" institutions, then no more than 1.26% of the company's shares are actively trading on the market. This is one of many reasons why it's ludicrous for Russell 1000 and Nasdaq 100 to rush it into their indices.
SpaceX's $1.8T "valuation" isn't real, it's manufactured by a tiny 4.2% public float. $1.8T is ~95x SpaceX's trailing revenue. Google IPO'd at ~7x revenue, Facebook at ~20x. This is Snowflake's multiple stapled to Rivian's capital burn, a combo with a flawless record of bagholders.
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