Comment by malfist
5 hours ago
Sorry, but I'm not pricing a stock today based on the assumption that this country will turn into a theocratic autocracy with a 70% YoY inflation rate for 15 years.
Besides, if I was pricing that in, I'd be buying indexes and not a specific stock. The 70% YoY inflation would rise all tides. Not just SpaceX.
Nothing the GP said makes SpaceX a better stock. It would just make the promise technically true in a way that doesn't benefit any investor.
Or, in other words, it's a joke.
If inflation is really that high I'm buying hard assets that won't depreciate. Sure I will need some cash, but gold bars in my personal safe suddenly are a great investment (gold is generally a terrible investment, but when inflation is the main concern is is really good)
Until SpaceX finds that golden asteroid.
True believers will leverage themselves all the way to the moon by selling gold calls so they can buy more SpaceX calls.
But these insane valuations are leading the tide-rising. This is one instrument in inflation because it's "creating" this money from nothing. All the employees that got a $5k bonus 5yrs ago will see it rise to $50k (or more) out of thin air (crazy financial mechanisms).
Will? It already has turned into one.
[dead]
Isn't SpaceX uniquely in the position to benefit from that kind of government?