Latest / Best of Business / Sam Dickie: Fisher Funds expert on SpaceX's first results as a listed company

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Sam Dickie: Fisher Funds expert on SpaceX's first results as a listed company · Best of Business

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  Speaker 1: You're listening to a podcast from News Talks B follow
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  Speaker 1: this and our wide range of podcasts now on iHeartRadio.
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  Speaker 2: Back in June, before it listed, we dug into SpaceX
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  Speaker 2: and how it does quietly become far more than a
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  Speaker 2: rocket company. It's just obviously, as we've discussed on the show.
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  Speaker 2: In the last couple of days, it has reported its
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  Speaker 2: first ever result as a public company, and Sam Dickey
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  Speaker 2: from Fisher Funds has been looking into it for us
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  Speaker 2: I Sam good evening here. Okay, so how did you
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  Speaker 2: what did you make of the first result as a
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  Speaker 2: listed company.
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  Speaker 3: Well, they clearly, as you guys have been saying, they're
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  Speaker 3: smashed at every division, beat revenue, profit a lot. But
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  Speaker 3: the interesting thing was in June we talked about Starlink
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  Speaker 3: being sixty percent of revenue, but it looks like by
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  Speaker 3: the December quarter of this year, the AI division could
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  Speaker 3: be seventy percent of the business. And that AI business
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  Speaker 3: didn't even exist inside SpaceX a few months ago was
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  Speaker 3: elon secret company XAI. He merged and so in six
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  Speaker 3: months a rocket company has become a kind of a
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  Speaker 3: satellite Stalink company has now become an AI company.
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  Speaker 2: What is the scale of what he's building to make
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  Speaker 2: it an AI company.
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  Speaker 3: That's massive. So he'll have two gigawatts of AI compute
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  Speaker 3: running by the end of this year and up to
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  Speaker 3: twenty gigawatts of capacity or power and calling by the
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  Speaker 3: end of twenty twenty seven. And to put that in perspective,
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  Speaker 3: New Zealand's grid in the cold snap got to about
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  Speaker 3: seven gigawatts, So Elon is talking about three times New
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  Speaker 3: Zealand's entire power system for one company selling or renting
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  Speaker 3: the use of AI chaps.
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  Speaker 2: That's enormous. What's the catch then, that's right.
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  Speaker 3: The stock has been hammered about fifty percent from the
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  Speaker 3: highs a few weeks ago, and there's three reasons for that. Really.
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  Speaker 3: The first thing is what we talked about in June.
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  Speaker 3: For a company that makes no profit, it has been
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  Speaker 3: extremely highly valued. The second thing is, once again for
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  Speaker 3: all these big tech companies you and I have been
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  Speaker 3: talking about this, Heather, the amount of capital spinning required
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  Speaker 3: is off the charts. So if you do the mass
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  Speaker 3: twenty gigawatts times fifty billion per gigawatt, that's a trillion
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  Speaker 3: dollars and the company doesn't even make a profit. And
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  Speaker 3: the third thing is that the well publicized lockup expiring,
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  Speaker 3: which you've been talking about. It's been overhanging the stock
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  Speaker 3: and early investors can sell sort of one hundred and
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  Speaker 3: twenty billion dollars worth of stock.
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  Speaker 2: Okay, so what does this mean for investors? Do you think?
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  Speaker 3: Well, Elon, as we know, is nothing if not aggressive.
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  Speaker 3: So the market expects him to deliver three hundred billion
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  Speaker 3: in revenue in twenty thirty, and he's telling the market
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  Speaker 3: that will be a trillion. And history says that Elon
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  Speaker 3: is usually always late with his predictions, but he gets
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  Speaker 3: through eventually. So once this lock up volatility is passed
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  Speaker 3: and perhaps the stock price is are a lot lower
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  Speaker 3: again from here, it'll be interesting to sit back and
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  Speaker 3: have a look at it and see where it is
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  Speaker 3: a better or worse company than it used to be
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  Speaker 3: only a few short months ago.
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  Speaker 2: Yeah, interesting stuff, Sam, There's always it's good to talk
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  Speaker 2: to you, mate, really really interesting stuff. Sam Dickey Fisher
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  Speaker 2: funds together duples out opening away from seven. I think
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  Speaker 2: that we can call well sort of, because I think
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  Speaker 2: we can mostly call it for Winston that he has
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  Speaker 2: got away with being so overtly racist towards Lawrence Judan.
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  Speaker 2: Would we say racist. I mean, if we're being technically correct,
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  Speaker 2: are we saying xenophobic? Likely to be technically correct? Okay,
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  Speaker 2: so he was xenophobic. So I think he's got away
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  Speaker 2: with it though, because the Prime and hasn't told him off.
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  Speaker 2: I don't know what agreement they reached, but it seems
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  Speaker 2: to be an agreement of don't talk about it and
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  Speaker 2: let's white knuckle it and it'll hopefully go away and
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  Speaker 2: you're not going to get fired and we can save
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  Speaker 2: the government. So he didn't get told off by the
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  Speaker 2: Prime Minister Speaker. Today, Jerry Brownly has confirmed he's also
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  Speaker 2: not going to tell Winston Peter's offered. He says, this
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  Speaker 2: is Jerry. He says, a request for someone to withdraw
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  Speaker 2: and apologize a remark like the one that with Sir
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  Speaker 2: Peter's made would need to take place in the moment
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  Speaker 2: and would have to be made by the person who'd
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  Speaker 2: taken offense. The request has been lodged by the Green Party,
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  Speaker 2: so it's not Lawrence ju Nan, it's the Green Party,
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  Speaker 2: and the request has been made this week, not in
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  Speaker 2: the moment when the day's subsequent to it happening. So
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  Speaker 2: he's basically denied that which you know, I mean, technically
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  Speaker 2: he may well be correct, But the ultimate outcome is
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  Speaker 2: that Whinnie gets away with it again. Only there's one more.
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  Speaker 2: There is one possible punishment that still remains for Winnie,
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  Speaker 2: which is that he could get punished in the polls.
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  Speaker 2: And somebody said this to me today, and I think
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  Speaker 2: they may be onto something. They said, Winston will get
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  Speaker 2: punished for this, ever so slightly in the polls, because
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  Speaker 2: not because his voters are going to necessarily get their
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  Speaker 2: backs up about the fact that he's been xenophobic, because well, yeah,
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  Speaker 2: the man has got form, so you know, if you're
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  Speaker 2: voting for him, you can't know what you're voting for.
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  Speaker 2: But what they may get upset about is the fact
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  Speaker 2: that he is so destabilizing at the moment, to the
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  Speaker 2: extent that it makes you feel like a lord, are
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  Speaker 2: we going to have a change of government? Of this
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  Speaker 2: behavior carries on like are we going to go to
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  Speaker 2: a snap election? It kind of had that vibe about it.
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  Speaker 2: He might get punished for destabilizing in the same way
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  Speaker 2: that that Dack David Seymore got punished, you know, in
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  Speaker 2: the lead up to the last election for destabilizing interesting
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  Speaker 2: such like side note on This is what Shane Jones
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  Speaker 2: then said today Shange and I don't know whether I
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  Speaker 2: trust Shane Jones on this or whether he's just running
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  Speaker 2: his mouth off, and that is always a possibility as well.
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  Speaker 2: But he's suggested, not suggested, he's outright said that New
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  Speaker 2: Zealand First is going to try to limit the ability
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  Speaker 2: of migrants to stand for parliament. He said, they'd have
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  Speaker 2: to be here in our country for a long period
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  Speaker 2: of time before they can become politicians. We are going
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  Speaker 2: to campaign on that. Then, when the New Zealand First
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  Speaker 2: Party was asked as Shane Jones, right, is this going
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  Speaker 2: to be one of your policies, they would not confirm
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  Speaker 2: or deny, and they were like, our policies are our
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  Speaker 2: policies when we announce our policies. Now immediately what you
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  Speaker 2: think is Winston Peters and Shane Jones are coming for
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  Speaker 2: Laurence ju Nan and they're going to change the rules
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  Speaker 2: so that he cannot stay sam for parliament because obviously
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  Speaker 2: he's originally from China. That is not going to happen. Like,
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  Speaker 2: don't even get sucked in by this nonsense. That's not
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  Speaker 2: going to happen. Lawrence j Nan has been in this
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  Speaker 2: country since nineteen ninety four, Right, he's been here for
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  Speaker 2: thirty two years. They are not going to set the
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  Speaker 2: bar that high. They're not going to say you have
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  Speaker 2: to be in the country for more than three decades
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  Speaker 2: before you can come in. And how I know that
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  Speaker 2: for absolutely certain is they've got a candidate, Taylor Arneil,
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  Speaker 2: who's only been in the country for ten years. So
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  Speaker 2: if they're happy to have somebody in there for ten years,
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  Speaker 2: Lawrence is fine.
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