Breakaway - Investing & Finance

SpaceX, Tesla, AI, Netflix, Margin, Markets

Sean Hathaway Episode 113

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0:00 | 1:08:37

Open

Markets


SCHD and VOO ATH. 

VGT And QQQ off ~5%. 

1 year 30% SCHD, 32% VGT and 24% VOO.

  • Leopold Leverage
    • The fund had gained about 270% after fees this year through May. At that point, it was up more than 1,000% after fees since inception. It had ballooned to well over $20 billion under management, reaching the size of other well-known hedge funds that took decades to build.

Example: you have $1000. 

  • Borrow $1000. 
  • Buy $2000 of stocks. 
  • Stocks go down 50%. 
  • Your broke.

Netflix

Tesla

Biggest one day loss EVER. Down 14.5%. 

  • One concept keeps me calm: The US needs Tesla and its Robotics for national security. 

Revenue Growth

So many changes in last 2 years. Revenue should grow steadily now:  Model YL (sleeper hit), Energy, Semi, Robotaxi (finally!), Optimus (~9 months), Services (up 50% YoY). CyberTruck basic config (delivery in 2027...huge demand!

Earnings Deck here. 

  • $100b annual run-rate.
  • $28b revenue quarter. Record. 
  • 1.48m FSD subscriptions. 

TeraFAbThis is why we're building the largest chip manufacturing facility ever, with the goal of producing over 1 terawatt of compute per year


AI

Letter from companies/CEO’s urging allowing Open Weights AI models. 


SpaceX

This tweet if off the charts”

 ‘https://x.com/stevederico/status/2084779469647266042

Play Elon

  • $100 billion ARR by December 2026 (they get here doing "nothing")
  • $1 trillion in revenue as early as 2029
  • Starship heat shield "solved"
  • 1 year payback on AI Data Center CapEX
  • End of 2027 data center capacity will upwards of 5x (or more)
  • NVIDIA exclusive chip partner for data centers on ground and space
  • They are using learnings from building rockets to build data centers, and it turns out data centers are way way way easier than rockets (means they can go extremely fast)
  • Starlink commercial will be much bigger than consumer and Starlink should deliver most of the world's internet
  • AI will be able to do almost anything in digital world by end of 2027
  • V3 satellites will 10x the bandwidth and will be launched 10x as many as V2.
  • Connectivity demand will explode due to physical AI (self driving cars/humanoid robots)

Politics

Billionaire Tax


Podcasts 

  • Really enjoyed Tim Robins on spotify. 

Advice: 

  • Never give up. 
  • Just show up. 
  • Everyone gets a job. Be AI literate.
  • I don’t think its hard to be successful in America. Hard = show up everyday, care about your job and your duty. That’st it.