ADVERTISEMENT
ADVERTISEMENT
My SpaceX Strategy
Letter to editor. /
As the world knows, tomorrow, SpaceX will go public- the biggest IPO in history. It is estimated over 4000 of Millionaires minted by noon. Here's the thing about an IPOs that i learned the hard way.
By the time the mainstreet investors buy their first share of SpaceX , the insiders.- the Silicon Valley elite, the venture funds that invested in SpaceX, early employees- would have the biggest pay day on their lives
For this group. Here is the truth about IPOs: The massive gains have been quitely allocated years ago, quietly, to a group of insiders. June 12 is their exit day- funded by frencied hordes of everyday investors.
Given the likely scenario of a quick explosion out of the gate and then a pull back, what is my SPCX strategy?
There is a old saying during the gold rush days about what build wealth : It's the picks & shovels, not the gold. The miners went broke. The sellers of picks and shovels became wealthy. This is true for most booms.
Cisco, IBM and Intel were the early stars of the internet and computers- but Nvidia, Micron, Broadcom, and Crowdstrike- the picks and shovels of the internet boom- have benefited even more. So I will be looking for the picks and shovels that SpaceX uses. And where do I find them? In the soon to be public records of SpaceX.
Here is my SpaceX game plan. I invested in SpaceX pre-ipo via an alternate investment vehicle about a year ago. I have now applied to get SPCX shares at the IPO price of $135- if I am lucky I may get 100 shares, but I am not holding my breath. I will NOT follow the herd by buying the stock when it explodes out of the the gate, as I am sure millions of investors will.
I will wait for the sharks to get their fill and look for a better entry points down the line. In the meantime, I will look for, suppliers. partners, and patent holders that SpaceX relies on. Mostly small companies that will feel the G-force of SpaceX.
Suresh Kumar
The writer is a tech entrepreneur, professor, member of the NJ India Commission and the author of Amazon Bestseller, The Girl in Scarlet Hijab
Related
ADVERTISEMENT
ADVERTISEMENT
E Paper
Video
Comments
Start the conversation
Become a member of New India Abroad to start commenting.
Sign Up Now
Already have an account? Login