No single ticker was named. Artificial intelligence ETFs are one way for retail investors to get exposure. Not a recommendation.
SpaceX valuation heavily tied to AI growth
The guest argued that more than half of SpaceX's current valuation is driven by its fast-growing AI data center business rather than its core rocket launch or Starlink operations.
The argument
The guest estimated that $75 to $85 of a hypothetical $150 SpaceX stock price is tagged to its AI business, which powers LLMs for companies like Anthropic and OpenAI. While Wall Street is highly excited about this fast-growing segment, it is currently losing a significant amount of money to support its high-growth phase.
The thesis, stress-tested
✓ What validates it
- ✓SpaceX financial disclosures showing AI infrastructure revenue growth outpacing launch services
- ✓Stabilization or reduction of capital expenditure losses in the AI segment
▸ Risks discussed
- ▸High capital expenditure and heavy near-term losses from building out AI data centers
- ▸Susceptibility to a broader AI sector correction or CapEx pullback by major tech players
Hear it yourself
"I I right right now, if if it's a, you know, a $150 stock, 75 to $85 of that price is tagged to their AI business, I believe. It's, you know, the the rocket launching, the Starlink business is that's, less than half, I think, of the current valuation in the company."
00:00 / 00:22