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They are capital spending very heavily to advance their tech, so a lack of "profitability" I don't think says any more than it does about Tesla-- they would be
by tbabb 8y ago
They are capital spending very heavily to advance their tech, so a lack of "profitability" I don't think says any more than it does about Tesla-- they would be fools to pocket their profit instead of turning it around to spend on growth.
- xkjkls 8y agoThe fact that they could fulfill their whole loan that they wanted, and that they lost many important government satellite contracts recently seems to indicate that this is a business that hasn't reached a stage that it isn't out of the woods. According to certain investors, this is a business worth $30 billion. That's not a company that should be struggling with these things. United Launch Alliance had similar revenues (right around 2.5 billion) in 2018, but most only value them at $3 billion. This 10x multiple of their most obvious competitor doesn't seem to make sense.
- _Tev 8y agoWell, if you don't follow spaceflight / LVs it sure doesn't make much sense. From my PoV (very casual fan of the above) it actually is pretty spot on to value ULA at 1/10th value of SpaceX. However reasons for that are too long to go into in one comment ... Mainly origin of & current owner structure of ULA, their current LVs cost & future and dynamics of SX launch business.