If I Had $10,000 to Invest Today, Here's the Growth Stock I'd Buy Instead of SpaceX
This company is already a leader in its industry, and yet it has only captured a fraction of its long-term opportunity.
If I were to allocate $10,000 for investment today, I would steer clear of SpaceX's stock and consider other options instead. Following its initial public offering in June, SpaceX's stock experienced a surge due to optimism surrounding its space transportation, satellite internet, and AI ventures, reaching a peak of $225. However, the stock has since declined by 34%, closing at $148.68 on September 25.
Despite this, SpaceX remains a pricey investment, with a market capitalization of $2.02 trillion and trailing-12-month revenue of $23 billion, resulting in a P/S ratio of 87 - 13 times more expensive than the tech-focused Nasdaq-100 index. This suggests potential for further downside, so $10,000 might be better placed elsewhere.
Netflix (NASDAQ: NFLX) emerges as a promising alternative, thanks to its strong streaming business and more attractive valuation.
Written by urgent.news from Motley Fool's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
