00:00A big week for SpaceX as the company gets ready to report its first results as a publicly traded entity
00:05after the bell here in the U.S. on Tuesday followed by the first major stock lockup expiration on Thursday.
00:12Now with SpaceX shares down more than 20% from the IPO price, more than 50% from the all
00:17-time trading high, the stakes are stratospheric and it's not just for SpaceX and Elon Musk.
00:24Let's start with earnings. Starlink results, CapEx plans, those will likely matter the most. Starlink, which is part of connectivity,
00:31is the profit engine of SpaceX.
00:33Subscriber growth is going to be in focus and how much that counters big spending on both Starship on the
00:39launch side and XAI as that builds out an integrated AI tech stack that spans semi-manufacturing with Tesla, frontier
00:47AI models and applications as SpaceX buys Cursor.
00:50Now the key question here, how much do Starlink subscriber growth, NeoCloud deals with Anthropic and now Google and multi
00:58-billion dollar government contracts offset the cash burn?
01:02As for stock lockup expirations, it starts Thursday when 911 million shares owned by some 20% of insiders become
01:10eligible to be sold.
01:11Now to put that in perspective, SpaceX sold 629 million shares or less than 5% of shares outstanding in
01:19the IPO.
01:20That's just the start. More lockup expirations will follow. Through the end of September, the public float could triple overall.
01:27Now all of this isn't just expected to impact SpaceX either.
01:31Other space stocks have been selling off in the wake of SpaceX's historic IPO and could move further in sympathy
01:37depending on the results we get this week.
01:40Wall Street's expecting more pressure overall. Short interest in SpaceX is now estimated upwards of 30%.
01:47So the stakes are very high and it all starts after the bell on Tuesday.
Commenti