- abc@suppo.fiEnglish4 minutes
Initial price was $135. Then it climbed to $210ish. Now $185.
Pretty regular stuff for a new IPO meme stock.
- Echo Dot@feddit.ukEnglish3 hours
It’s the simplest idea in the world, if a company’s outgoings are more than it’s income then how is it going to generate profit for the shareholders? How did no one think of this?
- 2 hours
The stock market doesn’t work like this anymore and hasn’t for several years… maybe decades. Share price is completely decoupled from fundamentals. The way you make money for shareholders is by getting the stock price to go up and what the actual company does or doesn’t do is not particularly a consideration anymore.
I go one step further and say that I personally believe the market itself is rigged, has been rigged since just after 2008. It is fully under control by dark pools, algorithms, HFT and AI. We will never again see an appreciable crash in the market, just things which vaguely resemble “normal” market action as the overall line continues to go ever upward.
The stock market is now fully a money-generating machine for the Epstein class. I have been saying this since about 2014 when I read Flash Boys by Michael Lewis and the Dow was at 18,103, Nasdaq 4,773. Even today with this news, the Dow is up currently 72 at 51,564 and the Nasdaq is up 496 at 26,517.
- FauxLiving@lemmy.worldEnglish15 minutes
These giant IPOs result in the companies being a larger part of index funds, which results in a huge influx of retirement funds and other ‘low risk’ investment funds that hold the index funds.
It’s basically fake it until you make it, once you’re a major part of an index your company’s shares are automatically purchased by these massive funds and that stabilizes the stock’s price at some arbitrary point (minus the insider short selling and other market manipulations).
- frongt@lemmy.zipEnglish55 minutes
The idea is that it will eventually be profitable, and investors will make their money back several times over.
Obviously, that does not seem to be the case in reality.
- Laser@feddit.orgEnglish6 hours
One should note that the stock is still up $50 per share up from its IPO price ($135 vs $185 or about 37%). Also the Cursor option was fully outlined before the IPO so it shouldn’t surprise anyone.
Not that I don’t think all of this is dumb, it’s just another hype / gambling stock without much substance led by Elon who got his Twitter buyout.
No crying in the casino
- Fishnoodle@lemmy.worldEnglish6 hours
The only people that got in below 160 a share are insiders, space x employees and institutional investments. That’s why they did a day 1 rug pull when the stock reached 180. They made sure no matter what was gonna happen, they weren’t going to be the bag holders.
- CADmonkey@lemmy.worldEnglish3 hours
I got three shares at $158 just to see if I was fast enough. Sold it at ~200 a bit later because I’m too poor to hold the bag.
- Eat_Your_Paisley@lemmy.worldEnglish7 hours
xAI buried inside SpaceX wasn’t enough to make them uncomfortable?
7 hoursIt’s worse than that… what they IPO with is basically a tiny percentage of SpaceX composed solely of xAI
The entire stock market is basically 99.9% blind speculation and 0.1% basic math, which is why it rarely makes sense
- BastingChemina@slrpnk.netEnglish23 minutes
It’s not even a surprise, this is from SpaceX s-1 document: only 7% of their estimated valuation is from Space related activities
- Eat_Your_Paisley@lemmy.worldEnglish7 hours
That’s what I was referencing, I’m surprised the regulators and the exchange let that happen
there are no rules anymore man… they just change them to rig the game in plain light… no ill consequences for the rich
- atomicbocks@sh.itjust.worksEnglish4 hours
You are surprised that the people doing this during Occupy Wall Street are allowing this?
The entire stock market is basically 99.9% blind speculation and 0.1% basic math
The US, England, and Japan are all returning to quantitative easing policy. So we’ve once again got too much money chasing too few investments. What a lot of naive investors see as a market bubble is recognized among the more savvy as a return to our ongoing policy of asset inflation.
A lot of what SpaceX is selling boils down to an access point to public spending - through sale of military hardware and equipment, network access to Starlink, and R&D funds allocated to the private sector. That’s what is really driving investment. It is, in effect, a play on the future of police and military spending.
Still wildly overvalued imho. But not “blind” speculation.
The corporate governance arrangements (or lack thereof) should be enough to make any investor with two functioning brain cells stay well clear. But the stock market has lost all touch with reality long ago. The crash will be brutal. And small investors will hold the bag, as per standard procedure.
- 5 hours
Nope. Since everyone bought his shares he got to keep their money
- Kazumara@discuss.tchncs.deEnglish4 hours
By that logic he’s not a trillionaire at all. They only sold 4% of the company for some 68 billion USD. A trillion dollars was never liquidated.
Edit: 4.3% and 75 billion are the correct numbers.
- Blue_Morpho@lemmy.worldEnglish4 hours
He gets to borrow against the shares as if he has that trillion in cash.
- Kazumara@discuss.tchncs.deEnglish3 hours
Yeah sure I also think that he is a trillionare at the moment. I was just trying to show that it’s absurd to say he has the money even if the stock price falls because he’s already liquidated it.
- holy_scroller@lemmy.zipEnglish7 hours
They diluted the stock 3.4% in less than a week of trading 🤣. Invest with Musk at your own risk.
- Echo Dot@feddit.ukEnglish3 hours
This is actually Elon Musk’s fault (that felt wrong to say), the company should never have been valued so highly anyway that was stupid. As far as I can tell Musk hasn’t actually done anything.
- 5 hours
It was already stupidly diluted. Dumbest investment out there with only one way to go.
- Toto@lemmy.worldEnglish6 hours
Are they shocked that Elon has no respect for their share holder opinion?
- buddascrayon@lemmy.worldEnglish1 hour
A reminder that every share he owns carries 10 votes to the 1 vote everyone else’s share has?
