Wall Street Is Manufacturing A Galactic Valuation Fantasy

Goldman Sachs is circulating aggressive growth projections to drive interest in the upcoming SpaceX initial public offering.

The bank claims revenue at the artificial intelligence division will jump 100-fold to 322 billion dollars by 2030.

Total company revenue is projected to hit 474 billion dollars in that same window.

This forecast serves as the primary justification for a 1.75 trillion dollar valuation target.

The roadshow for this offering kicked off this week with an opening price of 135 dollars per share.

Investment banks are dangling these astronomical figures to lure institutional capital into what is already being called the largest initial public offering in history.

The math behind the projections requires massive scale, specifically 6 gigawatts of installed compute capacity.

Skeptics point out that this assumes they can sell every bit of computing power at premium rates for nearly four years straight.

Starlink currently provides the only real profit, while the rocket and artificial intelligence units continue to burn through cash.

This offering functions less like a legitimate business debut and more like a carefully engineered exit strategy for early investors.

The hype cycle around artificial intelligence is being used to justify prices that bear little relationship to current operational reality.

We are seeing a desperate need for fresh liquidity to bail out the venture capital firms that have been stuck in this private equity trap for years.

When banks act as both lead underwriters and the primary source of the hype, the entire process becomes a closed loop of speculative greed.

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