Between the two largest Elon Musk companies, investors and experts have a long-term favorite.
Most of the “institutional investors and industry experts” surveyed by Morgan Stanley expect SpaceX to become more valuable than Tesla and see it as a more attractive investment.
“The majority of our customers (through surveys and customer interviews) believe that SpaceX could ultimately achieve a higher rating and significance than even Tesla,” Morgan Stanley analyst Adam Jonas wrote in a note on Tuesday.
Tesla has a market value of $ 858 billion. SpaceX hit a valuation of $ 100.3 billion after a second sale of shares, CNBC reported earlier this month.
Morgan Stanley released the Musk Company survey with two questions: “What do you think is a more attractive investment from here?” and “Which company do you think has the potential to become a more valuable company in the long term?”
Out of 32 responses, 63% of those surveyed by Morgan Stanley answered SpaceX for both questions.
“From our meetings with investors, the mood towards SpaceX, together with the valuation of the company in the private market, has increased significantly,” said Jonas.
SpaceX: The “Apex Player” in space
Jonas said that “Investors are starting to appreciate the potentially wide-ranging use cases for SpaceX’s reusable launch architecture in communications, transportation, earth observation and other space-related areas.”
SpaceX “is clearly seen as an” apex player “in the global space industry, said Jonas. The sentiment is reflected in its rising rating, which, according to CB Insights, makes it the second most valuable private company in the world.
The company’s valuation has risen in recent years as SpaceX raised billions to fund work on two capital-intensive projects: Starship and Starlink.
Starlink is the company’s plan to create an interconnected Internet network with thousands of satellites, known in the aerospace industry as the Constellation. The project aims to bring high-speed internet to consumers all over the world.
SpaceX has launched 1,740 Starlink satellites to date. The network has more than 100,000 users in 14 countries participating in a public beta. The service costs $ 99 per month.
Starship is the next generation massive rocket SpaceX is developing to launch cargo and people on missions to the moon and Mars. The company is testing prototypes at a facility in South Texas and has flown several short test flights.
Reaching orbit is the next step in testing the rocket. SpaceX is awaiting regulatory approval for its next launch.
“We believe that access to near-limitless sources of capital will be an extremely important part of the story of building the space economy,” added Jonas.
Morgan Stanley also said in a separate note on Monday that “more than one customer” has suggested that Musk could become the first trillionaire because of SpaceX.
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