Some SpaceX shares were sold in secondary transactions at a valuation of about $US400 billion earlier this year, but that figure isn’t included since the amount of stock sold couldn’t be determined. Data provider Pitchbook calculated it at less than $US50 million.
Some former workers at SpaceX and elsewhere have questioned his absence from his companies.Credit: Bloomberg
Ambitious goals
Musk’s path to becoming a trillionaire, whether it’s through Tesla or SpaceX, isn’t without challenges.
At Tesla, Musk’s pay package only vests as the company meets certain targets. The most ambitious goals include hitting a market value of $US8.5 trillion, up from roughly $US1.5 trillion currently, and adjusted earnings before interest, taxes, depreciation and amortisation of $US400 billion, compared with less than $US13 billion last year.
Tesla’s board justified the package by arguing it was needed to get the full attention of their chief executive officer.
At the same time, a $US1.5 trillion IPO for SpaceX, where Musk is also CEO, would mean nearly matching the record set by Saudi Aramco when it went public in 2019 at a $US1.7 trillion valuation. The oil giant pulled in revenue of about $US360 billion the year before its listing. SpaceX is said to expect revenue of roughly $US15 billion this year, Bloomberg reported.
Loading
Still, SpaceX has a track record of rapidly-growing valuations and plenty of investor enthusiasm. The company, which builds rockets and operates the Starlink satellite internet service, is working on a new deal that will allow employees to sell around $US2 billion worth of stock at a valuation of more than $US800 billion, Bloomberg reported.
If finalised, that would again make it the world’s most valuable private company after losing that crown to OpenAI earlier this year, and add more than $US180 billion to Musk’s net worth.
If Musk’s other paths to becoming a trillionaire don’t work out, he still has xAI, which hit a $US200 billion valuation in September.
Bloomberg
The Business Briefing newsletter delivers major stories, exclusive coverage and expert opinion. Sign up to get it every weekday morning.
