SpaceX

On September 24, 2026 I sold Rocket Lab and AST SpaceMobile and put most of the proceeds into SpaceX. My own post-mortem showed the two traded on one driver, sentiment toward pre-profit space companies, so I consolidated that exposure into the company that leads the industry in both launch and satellite broadband.

I did not make the trade because SpaceX is cheap. I made it to hold one space position instead of two that moved together, in a company with a large operating business and a net cash balance behind it.

SpaceX is priced for more than any other holding. Its forward P/E is 102.5x, and the price needs about 53% annual revenue growth for ten years, reaching roughly $1.6 trillion, about twice Amazon's revenue today. Rocket Lab and AST SpaceMobile required 55% to 77%, so the swap replaced two expensive options with one expensive leader rather than lowering the bar.

It also adds to the book's AI exposure, because its AI segment develops the Grok models and builds large data centers.

SpaceX burns cash, but it held about $60 billion of net cash at its last report after raising $75 billion in its June IPO.

The supply risk is different: up to 328.4 million shares became eligible for sale on September 24 as IPO lockups expired, and Elon Musk holds most of the voting power. What I am watching is Starlink growth and Starship milestones.