Yea, and their plan is to make you a bag holder.
Does anyone know if there’s a way to identify which of my 401k plans will be buyinh this stock once it gets added to the indexes? I would love to not have money in those index funds but don’t know how to tell.
I wouldn’t worry too much. Index only update every quarter at most. They won’t be buying in at the IPO.
It’ll also be a very small portion of their holdings when they do buy in.Look up how much of your 401K is in nvidia stock right now. It may surprise you.
Nvidia has a current market cap of $5.2T (largest in the world) making it 7.6% of the S&P500. I’m sure that’s the point you were trying to make, but we aren’t talking about Nvidia.
If we assume Morningstar is wrong and SPCX realy is worth $1.8T, then it will become roughly 2.6% of the S&P. If they’re right, it’ll be closer to 1.3%.
In my 403(b) I’m 50% international, 40% extended US market, and only 10% S&P500. I’ve been expecting the AI bubble to pop this year, so I moved my money away from Nvidia and the Magnificant 7. It’s been good for me so far. YTD I’m up 14.2%, while the S&P is up 11.7%. Nvidia is currently only 0.78% of my portfolio.
Back when I used to collect comic books I’d always get excited by the ‘book value’ of something I owned, and my dad would always tell me “No matter what the price guide says, that comic is worth only what someone is willing to pay for it”.
Most people who are going to buy into SpaceX are likely going to do it out of love for space exploration and a desire to be a part of SpaceX.
Even if the stock dips soon after the IPO, getting in early on a huge IPO such as this historically pays off huge in the long run.
Even if the stock dips soon after the IPO, getting in early on a huge IPO such as this historically pays off huge in the long run.
Then why don’t they want to abide by the normal 12 month seasoning time period?
They’re only going public with 5% of the shares to constrain supply and push up price and thus total valuation. They’re also probably going to have to get rid of Xai as it is a dead weight on the company as a whole.
It’s going to be very messy and if people want anything to do with it, probably best to wait a bit longer and buy when it’s dropped substantially in value.
Unfortunately they were merged with xai so they will likely go down with the ship
Thing is, they’re aiming at that exact kind of investor to pump their valuation, by selling relatively few shares
