5 Best Stocks to Buy Before SpaceX IPO

In this article, we will look at the 5 Best Stocks to Buy Before SpaceX IPO. Please visit the 10 Best Stocks to Buy Before SpaceX IPO if you’d like to see an extended list and the methodology behind it.

5. The Goldman Sachs Group, Inc. (NYSE:GS)

Number of Hedge Fund Holders: 78

The Goldman Sachs Group, Inc. (NYSE:GS), as one of the advisors and underwriters of the upcoming SpaceX IPO, is a major beneficiary of the event. The IPO is expected to be worth $75 billion, valuing the company at around $1.75 trillion. On both metrics, it will be the biggest IPO ever.

Photo by Robb Miller on Unsplash

The IPO is especially relevant because IPO activity slowed down in the second part of the previous quarter due to tensions in the Middle East. CEO David Solomon pointed this out on the earnings call, but was quick to add that the pipeline is strong.

There is no question that with the conflict in the Middle East, IPO activity slowed a little bit, particularly in March. I do think there’s a very full pipeline. And at the end of the day, equity markets have been extremely resilient and if that resilience continues, I do think you’ll see IPO activity accelerate again.

He also downplayed the future impact of global political issues on the upcoming major IPOs, adding that companies that require capital and are not directly affected by the crises will eventually come to market to raise funds.

While there could be, given the uncertainty of the war, some slowdown in IPO type monetization, that doesn’t mean that the sophisticated sponsors of the world aren’t thinking much like some of the well-capitalized corporates as to whether or not they can’t take advantage of some of the dislocation. So there’s multiple ways to think about it.

Despite headwinds in the previous quarter, Goldman comfortably beat first-quarter expectations, reporting EPS of $17.55 vs. $16.49 expected. The SpaceX IPO could add some positive sentiment to the stock, which, according to the management, is suffering under the negativity of the uncertain macro environment.

The Goldman Sachs Group, Inc. (NYSE:GS) is one of the leading investment banks and financial services firms that specializes in global markets, asset and health management, and research services, among others. The company was founded by Marcus Goldman and is headquartered in New York City, United States.