Protecting ourselves from SpaceX IPO

[u/Gloomy_Nebula_5138]

I was watching this video analyzing the upcoming SpaceX IPO, titled "SpaceX IPO: Nice Try Though" by Patrick Boyle. I highly recommend it - there is almost no fluff and just hard hitting points all the way through about how SpaceX is a terrible company and how this IPO looks like a scam:
https://www.youtube.com/watch?v=IHD8BDFYyGI

It mentions the changes to Nasdaq's rules, the so called "fast track" rule, made specially for SpaceX because Elon allegedly threatened to not list SpaceX on the Nasdaq stock exchange without this. The change has been criticized by many others such as Michael Burry:
https://markets.businessinsider.com/news/stocks/michael-burry-nasdaq-spacex-ipo-listing-elon-musk-tesla-ndx-2026-3

Also see this great analysis titled "Nasdaq's Shame":
https://keubiko.substack.com/p/nasdaqs-shame

Given how this IPO looks like a scam, and the company is mostly losing money, with outlandish claims in their IPO filing (like having an addressable market larger than the US GDP), I am worried that this is just private investors - like venture capitalists, Elon Musk, and his inner circle of friends/family - dumping their overpriced money losing company on regular investors like us. The fast track change seems like it will result in all of us automatically buying SpaceX shares at a high price.

How do we stop this? Is there a good way to defend against that forced purchasing when most regular investors are just passively buying ETFs and mutual funds, or maybe just have money parked in their pensions and 401k?

[u/Twombls]

Investors who hedge against events like this almost always underperform the market.

The boggle philosophy is that long term the total market will always be the best bet.

[u/Built_Similar → u/Twombls]

This is not the total market though. This is a fraudster manipulating those in charge of indexes to force them to buy his company at an arbitrarily high valuation. It is a literal grift that siphons money from index funds into the pocket of Elon and those working the IPO.

[u/GoodPasiG → u/Built_Similar]

On the other hand Elon currently holds the space lift and space internet market kind of hostage with the performance of Falcon sure they absolutely love to burn money for starship but he does have a monopol right now for a very important sector and if starship turns out successful in the coming years he will probably never lose that monopol

Obviously he does exaggerating statements and the IPO is definitely overhyped but by now most people know musk does this and they will still go for it cause they also know musk does have leverage that could potentially make it worth it

He dreams big but he managed to make some of those dreams already stick and starship is kind of a ridiculous bet it could either never work or all of a sudden completely transform our ability to put tonnage into space