Better Buy: SpaceX vs. These 2 AI Stocks
After its record-breaking initial public offering (IPO) and follow-up bond offering, Space Exploration Technologies (NASDAQ: SPCX) now has more than $100 billion in fresh capital to deploy. Expect this cash to be deployed quickly. SpaceX is currently losing money at a record pace, and growth will be its best path to profitability.
In total, SpaceX believes its total addressable growth opportunities are valued at an astounding $28.5 trillion. "We believe we have identified the largest actionable total addressable market in human history," the company claimed in its IPO prospectus. More than 90% of that total growth opportunity centers exclusively on one area: artificial intelligence (AI).
While many members of the general public still think of SpaceX as a space company, its IPO prospectus makes clear that SpaceX is a legitimate AI stock. If its AI bets don't take off, it will be very hard for SpaceX to justify its current $2 trillion valuation.
Source Fool.com
