In 2019, the first Starlink satellite fleet was launched into orbit. In 2024, the company is projected to generate $6.6 billion in revenue and is on pace for its first profitable year. Elon Musk is the founder of SpaceX, which operates Starlink. While he has a significant stake, he shares ownership with a number of other investors. Starlink is a constellation of satellites using a low-Earth orbit to bring broadband to even the most remote areas.
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It invested a second time in December 2021, at a valuation of $100 billion. Elon Musk has hinted at spinning Starlink off of SpaceX and taking it public when its business stabilizes. Based on its projected 2024 revenue of $6.6 billion and expectations of posting an annual profit, that may be just around the corner. There isn’t a Starlink stock symbol, because the company is currently private.
“Starlink is the right kind of business that we can go ahead and take public,” how to choose bitcoin wallet she told a group of investors back in February 2020. SpaceX itself, according to Crunchbase, has raised close to $10 billion from institutional investors like Fidelity, Google, and even NASA. Therefore, consumers and investors alike are salivating at the chance of acquiring a stake in the company. Elon Musk says the company will go public when cash flow is more predictable. Of course, if you want to invest in related companies, you will first need a brokerage account.
How to buy Starlink stock as an accredited investor
It wouldn’t be surprising if retail investors significantly drive up Starlink’s stock price when it goes public, thus leading to a popping of the stock price. Right now, SpaceX is likely absorbing the losses that Starlink incurs. Meanwhile, the parent company continues to raise funding from institutional investors who remain collectively excited about the prospects of space exploration and travel. The company’s potential is also raising eyebrows among investors. Starlink estimated its addressable market was $6 billion at launch. What this means is Starlink could bring in as much as $6 5 best front end javascript framework to learn in 2022 billion in its first year if it can turn every potential sales lead into a customer.
While this is a sizable stake, Alphabet is a $1.94 trillion company, so its $14.7 billion stake in SpaceX represents about 0.7% of its total business. Together, these investments are worth $14.7 billion, or about 7% of SpaceX and Starlink. Retail investors can wait for the IPO, or explore some of the ideas discussed in this article. With a Ticker Nerd Premium membership, you’ll get our monthly reports for 12 months AND unlock access to our report archive with 120+ stock deep dives.
Ticker Nerd is not a registered financial, investment, legal what caused bitcoin to rise or tax advisor and is not liable for any financial loss you may incur acting on any information provided by Ticker Nerd. By registering, you agree not to hold Ticker Nerd liable at any time or under any circumstances for your decisions, actions, or results. But that’s not all.Starlink has also been hard at work getting regulatory approval to offer broadband services on the move. Imagine having high speed internet access while you’re cruising down the road.
- A SpaceX subsidiary, Starlink is a satellite-based internet service provider, delivering high-quality, low-latency performance.
- Imagine having high speed internet access while you’re cruising down the road.
- At today’s valuation, this investment is likely worth around $1.15 billion.
- Starlink is a promising company with seemingly limitless potential.
- Our focus is on providing useful tips and tutorials for those interested in learning about Starlink.
Is Starlink Publicly Traded?
Also, unless you’re a well-heeled and well-connected investor, chances are you won’t have access to an IPO at the initial offering price. Usually, IPO underwriters price down their shares relative to what they believe the market will bear. This discount rewards institutional buyers at the expense of retail investors, who pay the market price which often ends up higher than the initial offering.
Unfortunately, SpaceX says 40 of the 49 satellites it launched at the end of 2021 were wiped out by a geomagnetic storm. We receive compensation from the products and services mentioned in this story, but the opinions are the author’s own. Learn more about how we make money and our editorial policies. The company suggests that users mount the base at or above ground level, although it must have a clear view of the sky. Starlink also said at the end of a satellite’s life, it “will utilize their on-board propulsion system to deorbit over the course of a few months,” which helps to keep space clean. SpaceX is responsible for constructing Starlink, a company that serves as a provider of high-speed and low latency broadband internet.
Elon Musk’s main criterion is for initial public offering of Starlink to be profitable with a predictable cash flow. The anticipation for a Starlink IPO is palpable among investors who see the potential for big returns. But it’s important to remember that investing in Starlink means investing in SpaceX, a privately-owned company.
Cathie Wood Portfolio from ARK Investment Management
Notable investors include Alphabet Inc. and Fidelity Investments. People also just want to invest in Starlink because it’s different. Although traditional internet companies provide internet through a series of cables and towers on the ground, Starlink uses satellites hundreds of miles above the earth. Aerospace manufacturer SpaceX has grown significantly since its founding in 2002. Since 2014, a division of SpaceX has been working on a so-called satellite “constellation” that will provide internet access nearly anywhere in the world. If you live in an area where Starlink isn’t available yet, the company allows you to pre-order services for a deposit of $99.
