SpaceX only gets to this valuation because it is run by Elon Musk
Speakers
Jim Cramer
— Host, Mad Money
Summary
Jim Cramer discusses SpaceX's multi-trillion-dollar valuation, arguing it reflects Elon Musk's cult of personality rather than business fundamentals. He also notes that a semiconductor sell-off may be a source of funds for buying into Space, and highlights the lax regulatory environment allowing aggressive projections.
- SpaceX valuation reached near $3 trillion, briefly rivaling Microsoft
- Cramer says the stock called SpaceX only gets its valuation because of Elon Musk
- Musk tweeted $1 trillion revenue projections by 2030/2031, far above Morgan Stanley's estimates
- Cramer points out SpaceX could lose money for years, doubting its standalone worth
- Semiconductors were sold heavily, possibly to fund purchases of Space shares
- He notes regulators under Trump's second term no longer appear to care about rosy projections
Ideas
Semis being sold to fund Space buys
The sell-off in semiconductors is driven by investors rotating out of the sector and using the proceeds to build positions in Space (SpaceX). Semis are acting as a source of funds, creating downward pressure.
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This CNBC video, published June 16, 2026, features Jim Cramer discussing SMH. 1 trade idea extracted by AI with direction and confidence scoring.
Speakers: Jim Cramer · Tickers: SMH