$Space Exploration Tech(SPCX.US) Many people who regret not buying Tesla when it first went public feel they missed out on generational wealth, so they think they can't miss out this time.

Indeed, if you had used $2600 to buy Tesla shares at its IPO when they were only $17 per share, the value of your holdings today would be about $1 million, a 385-fold increase.

But if you're expecting SpaceX to be the next Tesla, you haven't done the math carefully.

For SpaceX to achieve the same return as Tesla, it would mean its market cap would need to reach $670 trillion in 16 years.

What does $670 trillion mean?

The entire U.S. stock market has a total market cap of only about $70-75 trillion.

The combined market cap of all listed companies worldwide is about $150 trillion.

Global GDP is about $125 trillion.

So tell me, do you believe that the market cap of just SpaceX in 16 years:

Will be 9 times larger than the entire U.S. stock market today;

4.5 times larger than all listed companies worldwide combined;

Equivalent to the total economic output of all humans on Earth for 5.5 years?

One company dominating the entire global economy, is that possible?

SpaceX is not Tesla. Tesla did go public amidst widespread skepticism, while SpaceX is almost universally viewed positively, with very few skeptical voices, which is why its valuation has skyrocketed. Tesla's price-to-sales ratio at IPO was only 15x, while SpaceX's is 94x, completely different levels.

Speaking of a 94x price-to-sales ratio, Google's current P/S ratio is 8x, Microsoft and Apple's are 10x. Even NVIDIA, which has benefited the most from the AI boom, is only 22x.

From a price-to-sales perspective, 94x is undoubtedly an astronomical figure. This means that for every $1 of revenue SpaceX makes, its valuation is equivalent to 4 NVIDIAs, 9 Apples, 12 Googles, or 13 SanDisks.