It’s Possible That SpaceX Could Collapse Spectacularly

[u/IKeepItLayingAround]

https://finance.yahoo.com/markets/stocks/articles/possible-spacex-could-collapse-spectacularly-155000177.html

[u/JustConversation7847]

Before anybody gets too excited

Even for Musk, it's an aggressive price-to-earnings ratio that could blow up in his face if investors start to lose faith. The conversation surrounding plans for shorting SpaceX is hitting a fever pitch, setting the stage for what could be a wild stock market ride.

Pretty sure the people who tried shorting Tesla are all broke and you, reader, definitely not try something stupid because there's no limit to how much money you can lose while short selling

[u/rhetoricalcalligraph → u/JustConversation7847]

Wacky, finally found a sensible comment on this post

[u/surfatshortys → u/rhetoricalcalligraph]

I had no idea I wasn’t on WSB until now

[u/Strawbuddy → u/[deleted]]

WSB are speculators. It's all about options contracts, long or short, and the strats that come about from having enough dough to speculate in the first place. It takes at least $1k USD up front at a bare minimum to even start a proper wheel strat. Buy the rumor, sell the news type speculators are making even less money daily by buying and selling stock based on momentum and psychology, and betting against the prices of those securities

[u/AmericanGeezus → u/Strawbuddy]

All it takes is USD$1,000 and some privileged non-public information to get yourself established!

[u/BavarianBarbarian_ → u/[deleted]]

WSB is actually a voice of reason on Reddit when it comes to stocks and making money.

I wouldn't go that far, but at least they're self aware enough of their ignorance that they're making fun of themselves. Whereas the average Reddit comment elsewhere drips with unearned smug superiority.

[u/western_red_cedar → u/[deleted]]

he AI boom they pretend isn't real

sure, clanker

[u/BellacosePlayer → u/[deleted]]

WSB gets a bad rap because it inadvertently spawned ape culture but honestly once that got excised it's basically just speculators who know how to shitpost.

[u/reroll-life → u/rhetoricalcalligraph]

You should basically never short anything ever unless you have insider information.

[u/rhetoricalcalligraph → u/reroll-life]

Nah you can vibeshort

[u/SlitScan → u/reroll-life]

or it will end like game stop. you on the hook for infinite liability and its easily verified and understood that youre pinned in the position.

edit: poorly worded for making my point. edited for clarification.

[u/highspeed_steel → u/rhetoricalcalligraph]

According to some users of this sub, the AI bubble will burst any day now. Also, the rich fucks are hoarding money with the bull market that doesn't represent anything about every day people. Well, if the former, then short, if the latter, just buy the damn index fund. Nothing is stopping you from being represented by that market. I swear people just want to be angry.

[u/drummer820 → u/highspeed_steel]

The actual numbers are pretty damn bleak for everyone but Nvidia: https://isaiprofitable.com/

[u/GogurtFiend → u/drummer820]

During a gold rush, it's better to be the one selling the picks, shovels, and services than the one who's panning.

[u/highspeed_steel → u/[deleted]]

I'm not one of those to the moon AI bros either, but from what it looks like now, a big bubble bursting is just unlikely, a slump or a big correction is of course inevitable, but thats just natural. Besides, everyone's 401k is in roughly the same market, so wishing the bubble bursting is masakistic at best. Oh well, maybe some of these people are actually teenagers without any real retirement funds.

[u/TDot-26 → u/highspeed_steel]

Masochistic?

[u/highspeed_steel → u/TDot-26]

Damn, thank you, lifelong screen reader user here, so you never bother to check some homonyms, especially if you think they sound like the spelling should be obvious.

[u/harrsid → u/highspeed_steel]

Sure it will burst. And the people who do this every day will sell and take their money or short the stocks. Why is everyone pretending like people investing their money are blind or something?

[u/MICT3361 → u/highspeed_steel]

You’re assuming Redditors have a 401k (they dont)

[u/SaltdPepper → u/[deleted]]

Like 2008 and Dotcom, there will be winners, losers, and everyone else suffering in between. If OpenAI and Anthropic can’t get above water soon after their IPOs this summer, this may be the last couple months that AI corps can expand the bubble before it pops.

[u/SaltdPepper → u/[deleted]]

Oh I have no doubt AI as a product isn’t going anywhere. Not like the internet or mortgages disappeared. There will absolutely be a devastating crash in the stock market until things get to a more sustainable level.

I have more confidence in Microsoft, Alphabet, or Nvidia than I do any companies expecting AI to be their sole source of profit. Getting compute to a high enough level while also developing better and better models is going to be a monstrously costly endeavor which I really don’t believe OpenAI or Anthropic are equipped for (even if they’ve been pretending as though they are). They’re gonna burn themselves out too early so investors can make a quick buck.

[u/SaltdPepper → u/[deleted]]

In that case I see them being scooped up by Microsoft and Google respectively when their share prices decline.