Ron Baron Sees SpaceX Hitting $50 Trillion in a Decade, Up From $2 Trillion — Says Elon Musk Thinks His Estimate Is ‘Way Low’

Investor Ron Baron believes Space Exploration Technologies Corp. (NASDAQ:SPCX) could be worth between $20 trillion and $50 trillion in a decade, with Starlink and data centers in space doing the heavy lifting.

A 10-Year Run to ‘Thousands of Dollars a Share‘

Speaking at Columbia Business School Distinguished Speaker Series on Tuesday, the Baron Capital founder said he thinks the Elon Musk-led company will trade at “thousands of dollars a share” in a decade, with the company worth “$20 trillion, $30 trillion, $50 trillion.”

“Elon thinks I’m way low,” he added.

SpaceX has a current market value of about $2.063 trillion, according to Yahoo Finance.

Baron said he advises friends to buy SpaceX and keep buying every month, regardless of swings. If they wake up worried about how much they have invested, he said, they should “go to your broker and buy more.”

Starlink and Space Data Centers Carry the Case

Baron believes Starlink alone could be worth “somewhere around $14 trillion or $15 trillion” in 10 years and is “still at the very early stages of that growth.”

He said data centers in space could be “a multiple of how big Starlink is going to be,” because “you can’t build them on the planet anymore.”

Investors, he said, should expect to make “at least 20 or 30 times.”

The Bull Case Widens

Citi analyst John Godyn sees a path to $900 a share, or about $12.2 trillion, after Starship reached orbit last month with 26 Starlink V3 satellites.

Last week, the company agreed to buy nationwide 800 megahertz spectrum from Grain Management to take Starlink Mobile from satellites to the ground and potentially challenge AT&T Inc. (NYSE:T) and Verizon Communications Inc. (NYSE:VZ).

CNBC host Jim Cramer said last week that SpaceX is more likely to deliver returns to investors well before Tesla Inc. (NASDAQ:TSLA) did.

Price Action: SpaceX closed 4.21% lower on Tuesday at $156.54 and climbed 0.26% to $156.95 in extended trading.

Since its IPO in June, the stock has fallen 2.74% so far.

Benzinga Edge rankings indicate SpaceX’s stock has a positive price trend across the short, medium, and long term.

Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

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