Key insights
- A former SpaceX employee expresses confidence in the company's long-term growth despite acknowledging potential overvaluation at IPO. The employee, already financially secure, questions the necessity of selling shares immediately, indicating a willingness to hold for the long term. This suggests potential downward pressure on the stock post-IPO as some employees may be less inclined to sell, but the overall impact is limited due to the individual nature of the opinion.
I know there's a lot of discussion about the upcoming SpaceX IPO being an insider stock dump, but as a former SpaceX employee who worked there for a couple years, I had a strong sense that the company was genuinely doing quite well and had a level of development that's unmatched in the defense industry. I never saw any real negative signs inside the company, and I always intended to just hang onto my stocks until I retire.
My main question is what's the big deal of a company being overvalued? I definitely do think SpaceX is overvalued at the moment, but I do believe it'll continue to grow given the culture of relentless work and growth I saw at the company when I was there. My family and I are already relatively wealthy, so I don't really care if there's some moderate stock drop if all that really means is that I just keep my stock for another decade or two until it recovers in price. Is there a compelling reason for me to sell my stock immediately upon IPO?