Here's What $10,000 Invested Equally in SpaceX and Nvidia Could Be Worth in 2030
Key PointsSpaceX has a huge opportunity as it expands its compute power and gets strong payback periods.
An investor could have allocated $10,000 equally between SpaceX (SPCX) and Nvidia (NVDA) in 2023, purchasing 34 shares of SpaceX and 23 shares of Nvidia. With SpaceX planning to build an impressive 10 gigawatts of computing power each year, the combined investment could be worth over $52,000 by the end of 2030. SpaceX's AI infrastructure investments have shown strong returns, with CEO Elon Musk predicting a payback period of around six months.
By 2027, SpaceX aims to have up to 13 gigawatts of computing power, which could result in annual recurring revenue (ARR) of $500 billion to $1 trillion. If SpaceX adds 10 gigawatts of capacity over the next five years, the company could be worth $3 trillion in revenue by 2031. Applying a 5 times price-to-sales (P/S) multiple to this valuation, the combined investment in SpaceX and Nvidia could be worth $15 trillion by 2030.
Nvidia's revenue per gigawatt from its Vera Rubin architecture is around $40 billion, so SpaceX's investment of 10 gigawatts each year could generate approximately $400 billion in annual revenue from SpaceX alone. With Nvidia's rapid growth and increasing revenue per gigawatt, the company's fiscal 2028 revenue could reach $850 billion, leading to an adjusted earnings per share (EPS) of nearly $61 in fiscal 2032.
Assuming a current S&P 500 market multiple of 19 times forward P/E, Nvidia's stock price could be worth $1,160 by the end of 2030. Consequently, the 23 shares purchased initially would be worth around $26,650.
Written by urgent.news from Motley Fool's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
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