SpaceX today we are watching it just

reported its earnings a couple of days

ago. Today is the first lockup

expiration. We're looking at around 911

and a half million shares that will be

eligible for sale today. That doesn't

mean that all of those shareholders are

going to come to the market and sell

today. means that they can, right? And

so if you're a SpaceX employee and

you're allowed to sell today and you've

been wait sitting on this gain and

sitting on this gain and waiting to exit

and you want to buy a car or you want to

buy a house or a boat, today is your

chance to cash out. And maybe you don't

cash out all of it. Maybe you cash out

some of it. Um, but this has definitely

been an overhang on the stock that a lot

of people were talking about. And of

course, it is not the last one. Correct.

>> We don't get through with this whole

process until December. So, but there's

a lot of visibility into the process.

Um, I recall you you don't own SpaceX. I

remember us talking about this. Um, but

it is a fascinating story to watch. It

is if nothing else.

>> It is. But most of Wall Street knew

about these lock up unwind periods. And

I think that's built into the price to a

degree. And what's wrong with those

SpaceX employees actually taking some

chips off the table and not being so

concentrated in the company that they

work for? I don't think there's anything

wrong with that. But I do question

the valuations that were put on SpaceX

at the IPO. As I discussed on your show

the last time, I it's hard for me to

fathom a company that lost $4 billion,

had an operating loss of $4 billion as

recently as last year commanding that

type of valuation. I know

>> I know Elon Musk is the Willy Wonka of

our times, right? He's a magician.

Everyone believes in him. But what if

there's a longer term plan here, Dan, to

actually fold SpaceX back into Tesla and

now all of a sudden they become a space

and robotics company and cars are just

an afterthought. Is that the longer term

play here? And if as an investor you

start to look at it that way,

>> maybe it's starting to get more and more

attractive to start buying SpaceX now,

realizing it's going to be part of this

bigger umbrella that could provide

growth down the road.

>> I mean, to me, it's just a it's a mobile

carrier essentially. Like that's the way

it's its revenue is set up right now. I

mean you look at the space side and it

just I mean that's what blew me away was

you know well the space

>> aspect of this is kind of a pitence

compared to what what the networking

side is doing. And then obviously the AI

>> bet is going forward. You know we'll see

what happens with Grock or you know it's

I mean they rolled out a new model. It's

you know not the best but it's not

terrible apparently. um you know but

they're also comparing that with you

know two of the the biggest AI labs in

the world open AI and and Anthropic and

oh yeah Meta is now catching up Google

is obviously there as well that they're

kind of uh apparently delayed their

their new frontier model but you know I

mean I I I think when you look at this

company it just at points feels very

confusing just because it is a space

company you talk about all these

launches then you talk about what's

going on with with networking and

Starlink then you talk about Star Mind

which you know they were talking about

the other day where they

>> the partnership with Nvidia I mean and

they're also building terrestrial data

centers right now. I I talked to an

analyst yesterday, Ron uh Epstein over

at at Bank of America, like most the

vast majority of analysts who cover this

stock. He's got a buy equivalent rating.

And I I I quoted somebody who was on the

show in the last week, I can't even

remember who it was, called it

Frankenstein, right? Called SpaceX

Frankenstein. Like he got all these

parts

>> bolted on,

>> bolted together. And he really pushed

back against that and said, "It all

comes back to the rockets, right? And

the reusability of the rockets and the

flywheel that will create." And I've

heard this argument many times about

SpaceX now. And I said,"Well, then why

build terrestrial data centers?"

>> And it's like, "Well, it's a bridge to

this other thing." And he didn't address

why have a social network, but you know,

a social media platform, but like

whatever. Why have a car company? Why,

you know,

>> the social network part is uh

>> social social media platform, excuse me.

That was an accident.

>> Let me let me That was Yes. Yes. For

sure. Um, you know, and I and I get this

argument that like down the road this

will be all of these things. I still

think and I know he's got a track

record, but I still think he got an

incredibly volatile and unpredictable

leader also and I that's I I think there

should be an Elon Musk discount, not a

premium, but that you know that's just

me.

>> I think the the idea of the the uh

robots becoming such a a massive revenue

source. I mean you know

>> on the Tesla side.

>> Yeah. Yeah. Yeah. I mean I mean like

that because eventually that's the idea,

right? maybe right that we see that the

two that's kind of been the general

thinking is that he'll do that. I think

that that's just a very strange element

to me just because I don't know how many

people actually want that in their home.

I'm sure there are people that like dude

this is cool but they're also like you

know

>> oh interesting it was higher when we

started talking and now it's lower. The

the other, by the way, the other story

that really caught my eye this morning,

remember before um the well earlier this

year when Anthropic said be careful if

you're buying shares in Anthropic

through certain SPV, special purpose

vehicles. [clears throat]

And then the Wall Street Journal had a

story today saying some of the people

who tried to buy into SpaceX using them

found out they didn't actually have the

shares.

>> Interesting.

>> Once the IPO happened. So there and and

that also brings me to the point which

our Jared Blicker is going to talk about

later is that retail investors keep

pouring into this thing. So we're seeing

the stock go down but it's it's retail

folks are getting back in.

>> And the only thing I would remind those

retail investors and someday we may be a

holder of SpaceX. I don't want to sound

hypocritical but there are other

companies public companies with solid

balance sheets that are profitable who

are doing a lot of the things that

SpaceX is claiming that they are going

to do. whether it's satellite

technologies, rocket propulsion, not

necessarily the orbital data centers,

but you look to Halmet Aerospace, GE

Aerospace, you look at lunar, you look

at our environment. Uh there's other

companies that can provide you with

exposure to space if you want to hold

SpaceX. So you get more of a diversified

play.

>> I mean, I guess it depends on your time

horizon, too.

>> Depends on your time and your and your

risk tolerance. Yeah, for sure.