Elon is about to Execute SpaceX Phase 2: PREPARE NOW.

[00:00] Well, holy smokes, it is happening.

[00:02] Well, so far everything is lining up

[00:04] exactly as we would anticipate for

[00:08] SpaceX to pull off one of the craziest

[00:12] things ever. And people are going to

[00:14] lose their minds if this happens, but I

[00:17] think it will. And honestly, Elon Musk

[00:21] basically just sent up a hot air balloon

[00:24] or a big balloon, whatever you call it,

[00:26] when you send up a signal flare into the

[00:28] sky there. How about that? We were like,

[00:29] "Yeah, boys and girls, I'm down to do

[00:31] this." Literally this morning, we got

[00:34] news that reiterates

[00:37] what I think Elon is doing. Holy smokes.

[00:41] Let's get right into this. I'm me,

[00:43] Kevin, in case you don't know. We've

[00:44] been analyzing SpaceX and the prediction

[00:47] has been that SpaceX is going to meme up

[00:52] in stock price for the first 15 to 30

[00:55] days because why? Well, because you

[00:58] can't have insiders sell because they're

[01:00] all locked up. You've got NASDAQ

[01:02] inclusion coming. You just opened up the

[01:05] option market on it. You've got other

[01:08] people like the cursor folks who are

[01:10] about to get paid $60 billion

[01:13] in SpaceX shares. They're not going to

[01:16] be able to sell until at bare minimum

[01:19] sometime later in Q3. and you're at peak

[01:23] hype for Elon Musk becoming a

[01:26] trillionaire and honestly a

[01:29] record-breaking SpaceX IPO with well not

[01:32] only being the largest IPO ever but also

[01:34] being the largest IPO with the smallest

[01:36] freaking float ever like 4% of this

[01:38] company's is under 5% of this company's

[01:41] shares are outstanding which makes it

[01:43] the perfect meme play but what was our

[01:48] prediction our prediction was that Elon

[01:50] Musk is going to take over Tesla. In

[01:55] fact, take a look at this spreadsheet.

[01:57] This is the spreadsheet we made weeks

[01:58] ago. We predicted that SpaceX would IPO

[02:02] at about a $2 trillion valuation and

[02:06] that within 90 days they would get to

[02:08] about a $4 trillion valuation. And we

[02:12] talked a little bit about how

[02:14] potentially SpaceX could raise money to

[02:16] take uh Tesla private, but I actually

[02:20] think it would be a lot easier for

[02:22] everybody who owns Tesla shares to

[02:25] basically just get handed SpaceX shares.

[02:28] You lose your Tesla shares. Now all of a

[02:30] sudden, X holding holds everything. And

[02:32] boom, what happens? Elon now has full

[02:36] control. Elon wants majority control

[02:39] over Tesla. he would get majority

[02:41] control over a Tesla, which would mean

[02:43] he would be in charge of the Optimus

[02:45] robot army once it actually gets out of

[02:47] R&D. Now, what's remarkable is we just

[02:52] got an SEC filing this morning that sets

[02:55] up the playbook again. And remember,

[02:59] like two weeks before the IPO, there was

[03:02] talk inside of the company about SpaceX

[03:04] acquiring Tesla, which made the news.

[03:06] And then I'm like, see, this is what

[03:08] we've been talking about. But it's

[03:10] coming. It's happening. But watch this

[03:12] filing literally from today. This is an

[03:15] SEC filing in AK that was literally

[03:18] posted today on June 16th. That's today.

[03:20] Here you've got Space X Technology

[03:23] Company acquiring Cursor. Okay, we

[03:27] already knew that was going to happen.

[03:28] We had that $10 billion risk that if we

[03:31] didn't end up acquiring Cursor, we would

[03:32] end up seeing a $10 billion loss over at

[03:35] SpaceX. But some of that was contract

[03:36] value anyway for services. Well, today

[03:38] they're making the announcement that you

[03:40] know what, we're going to execute our

[03:41] option. We are going to end up buying

[03:42] Cursor for $60 billion, which you might

[03:45] recall that SpaceX happened to just

[03:47] raise $75 billion at IPO plus the green

[03:51] shoes. So, just over $85 billion. SpaceX

[03:54] employees actually wore green shoes at

[03:57] the uh NASDAQ ringing of the bell. I say

[04:00] quote unquote because it's a computer

[04:02] screen as opposed to like an actual bell

[04:03] that rings like at the New York Stock

[04:04] Exchange. But anyway, uh the green shoe

[04:07] option is basically when underwriters

[04:09] like a Morgan Stanley or whatever have

[04:11] the option of buying more shares at IPO

[04:13] price, which they love executing when

[04:16] the stock goes up. Well, of course, this

[04:18] meme stock went up because there's

[04:20] massive momentum here, right? Uh and so

[04:22] they executed that, which basically

[04:24] means SpaceX built in another $10

[04:26] billion of fundraising. So now SpaceX

[04:28] has $85 billion. And when I first saw

[04:30] this news, I'm like, "Oh, okay. They're

[04:32] going to execute the option. They're

[04:33] going to buy Cursor. They're going to

[04:34] give Kurser $60 billion of cash.

[04:37] Wrong. SpaceX is going to keep the $85

[04:40] billion of cash. And instead, what

[04:42] they're going to do right here is

[04:44] they're going to pay cursor class A

[04:47] common shares, which are the ones that

[04:49] don't have the voting power that Elon

[04:51] has, the super voting shares, right? The

[04:53] B shares. But anyway, based on an

[04:55] implied equity valuation of $60 billion

[04:58] for Cursor and they're going to get

[05:00] shares based on the volume weighted

[05:03] average closing price over 7 days

[05:05] immediately prior to the merger closing.

[05:07] So basically, let's say the merger

[05:09] closes at the end of August, whatever

[05:11] SpaceX was trading for on a volume

[05:15] average basis, volume weighted average

[05:17] basis over the 7 days before that,

[05:19] that's what uh people were going to be b

[05:22] getting their SpaceX shares at. So

[05:23] whether that's $200 or $175 or $300,

[05:26] whatever, right? That's the price people

[05:28] are going to get over at Kurser. Now,

[05:30] those coaster folks are not able to sell

[05:32] their SpaceX shares now because they

[05:35] don't have them yet. But they're about

[05:37] to get $60 billion of SpaceX shares kind

[05:40] of, you know, probably at the top of

[05:41] SpaceX pricing, which is brilliant for

[05:44] SpaceX, but the cursor people are going

[05:47] to know that and they're going to want

[05:48] to be like, you know, might want to

[05:50] either hedge this or sell some of these

[05:52] shares. And including insider lockups,

[05:54] employees, venture capitalists who are

[05:56] way up on this freaking stock. like, you

[05:58] know, if you're already up, like my

[06:00] venture for capital company's up like 5x

[06:02] on our SpaceX shares. Uh, you know, do

[06:05] we want to hang out for a 6x? I don't

[06:08] know, maybe it'll be a 6x that lock up

[06:10] is uh, you know, is actually available.

[06:12] But the point is, you've got uh a lot of

[06:16] people including now cursor getting

[06:17] these shares and Elon Musk through this

[06:19] SEC filing just basically said the quiet

[06:22] part out loud. Hey, if we're going to go

[06:23] buy another company, we're just going to

[06:25] issue SpaceX shares. So now put the

[06:27] pieces of the puzzle together. You know,

[06:30] four or five weeks ago, Kevin makes a

[06:31] video and says, "Hey,

[06:33] Elon wants control of Tesla. We know

[06:35] that. Wouldn't it be interesting if he

[06:37] just issued SpaceX shares and acquired

[06:40] Tesla with SpaceX shares?" Then two

[06:43] weeks after I made that video, we hear a

[06:45] CNBC story. Oh, SpaceX is actually

[06:48] quietly thinking about how they could

[06:49] acquire Tesla.

[06:51] Elon also happened to accidentally call

[06:54] SpaceX Tesla when he was at the JP

[06:56] Morgan meeting with Jamie Diamond at the

[06:58] top of the tower. Well, he actually only

[07:00] showed up virtually. Kind of hilarious.

[07:03] He was on the TV screen, you know,

[07:05] zooming in. Uh his mom was at the event,

[07:08] but anyway, uh he accidentally called

[07:11] SpaceX Tesla there. If you watch it or

[07:13] just take my word for it, that's what

[07:14] happened, which is very interesting. And

[07:17] now we have this SEC filing showing, oh

[07:20] yeah, we're buying companies using our

[07:22] shares because the share price is

[07:23] memeing. So what's actually happening

[07:26] right now to SpaceX stock? It is almost

[07:28] a $3 trillion company. Oh shoot, we

[07:32] might be closer to a 10x then. Yeah, cuz

[07:33] we got into this company at like $330

[07:36] billion, something like that. Maybe it

[07:37] was 375. I I I the point is there's so

[07:40] much dilution that's happened. We won't

[07:42] actually know until we get the shares.

[07:43] But that's almost a freaking tedagger on

[07:46] our SP SpaceX shares. So I like seeing

[07:48] the meme. But I also want to see the

[07:51] dollar holla in my pocket.

[07:53] But you can't cuz there's a lock up. But

[07:55] anyway, I've been very transparent about

[07:57] all this the whole process. First 15 to

[08:00] 30 days, I expect the meme show for

[08:03] SpaceX, which is exactly the perfect

[08:05] time to go buy Tesla, especially since

[08:08] Tesla's down. See, look at this. Tesla's

[08:10] literally down on a day. SpaceX is

[08:12] memeing almost at $3 trillion. SpaceX is

[08:15] almost two Teslas. Uh Tesla's sitting at

[08:18] about $1.5 trillion. I've got him at 1.6

[08:22] on my spreadsheet here. I think this is

[08:24] happening. So, so far everything is

[08:27] going according to plan. And the filing

[08:29] today on Cursor, in my opinion, gives me

[08:31] more of a reiteration, not less, that

[08:34] this is going to happen because Elon

[08:35] Musk wants control of that robot army.

[08:38] And honestly, people probably gonna vote

[08:40] to give him that because yes, it would

[08:42] end up being subject to a vote, but

[08:46] I I mean, I actually think a lot of

[08:47] people are going to vote for it. Not

[08:48] everyone, you know, some people over at

[08:50] Tesla are going to be, man, this is

[08:51] crap. I want to keep my Tesla Tesla, my

[08:53] SpaceX, SpaceX. Yes, some people are

[08:55] going to say that, but I don't think

[08:58] it's going to be enough uh for that vote

[09:00] not to go through that. So, that's my

[09:01] take. Thank you so much for watching

[09:03] here. Uh if you want, I'm going to post

[09:04] some more stories on my Instagram. You

[09:06] can follow me there. You can follow me

[09:07] on uh Twitter as well. I try to post on

[09:09] Instagram at least um daily. And uh

[09:12] consider subscribing over here. Share

[09:13] the video if you found it useful and

[09:14] we'll see you in the next one. Goodbye.

[09:16] Good luck.

[09:16] >> Why not advertise these things that you

[09:18] told us here? I feel like nobody else

[09:19] knows about this.

[09:20] >> We'll we'll try a little advertising and

[09:22] see how it goes.

[09:22] >> Congratulations, man. You have done so

[09:24] much. People love you. People look up to

[09:25] you.

[09:26] >> Kevin Pra there, financial analyst and

[09:28] YouTuber. Meet Kevin. Always great to

[09:30] get your take.