“SpaceX has a chance to be as big as Tesla in my opinion,” Baron said on CNBCs “Squawk Box.”
Baron’s investment firm holds over 1.6 million Tesla shares and more than 800,000 SpaceX shares in both companies. With Tesla stock up more than 433% this year, Baron’s stake stood at roughly $ 3.5 billion as of Tuesday’s close of trading – with a market valuation of the company of roughly $ 417 billion. Earlier this year, Baron said he believed Tesla had the potential to reach “at least” $ 1 trillion Income by 2030.
While Baron Capital acquired shares in SpaceX for the first time in 2017, the company only expanded its position in rocket construction in the third quarter of this year. The Baron Asset Fund announced that it purchased $ 26 million worth of SpaceX shares during the company’s most recent fundraiser for $ 2.1 billion. Baron said SpaceX’s valuation rose to around $ 44 billion.
“What I ultimately want to know is not just the Tesla type, but the SpaceX type as well,” Baron told CNBC. “In the next few years, I’ll be talking to you about SpaceX a lot more than I can do now.”
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