Steve Eisman Warns on SpaceX’s 215% Capex Surge, Questions Tesla Tie-Up
TSLA•Steve Eisman warned that SpaceX’s capital expenditures jumped to 215% of revenue in Q1 due to AI infrastructure spending and dismissed its asteroid mining plans, also questioning any potential merger with Tesla. Elon Musk’s net worth could exceed $1 trillion if SpaceX IPO values it at $1.75 trillion, lifting Baron Funds’ stake.
1. Eisman Critiques SpaceX’s Capex and Strategy
Investor Steve Eisman warned that SpaceX’s capital expenditures surged to 215% of revenue in the first quarter due to AI infrastructure spending and dismissed asteroid mining plans as nonviable, also expressing doubts about any potential merger with Tesla.
2. Musk’s Net Worth Could Top $1 Trillion
Elon Musk, currently worth $703 billion, holds about 44% of SpaceX and could see his net worth exceed $1 trillion if the upcoming IPO values the company at $1.75 trillion, with a 91% chance projected before 2027 and potential upside from Tesla compensation milestones.
3. Baron Funds Boosts SpaceX Stake Valuation
Baron Funds revised up the valuation of their SpaceX holdings ahead of the IPO, resulting in a notable increase in their reported portfolio assets.
