Elon Musks private companies SpaceX, xAI see values soar since election: report
Tesla’s stock has taken a nosedive since Donald Trump was elected president — but Elon Musk’s privately held firms have seen their valuations soar, according to a report.Investors in secondary markets have driven up the collective valuation of four of Musk’s privately held companies by 45% since the Nov.5 election, according to an analysis from trading platform Caplight which was cited by Bloomberg News.Caplight’s research compiles secondary transaction data and other market indicators, including buyer interest, to estimate a daily share price for Musk’s ventures: SpaceX, Neuralink Corp., the Boring Company and xAI.The artificial intelligence startup xAI has been the biggest driver of these gains, with its share price surging 110% since Nov.
5, according to Caplight’s findings.Recent talks between xAI and potential investors have suggested a valuation of $75 billion for the company.However, Caplight estimates that xAI, which is touting its flagship chatbot “Grok” as one that can rival OpenAI’s ChatGPT and the Chinese-based DeepSeek, was trading in secondary markets at a valuation of $96 billion as of Tuesday — or 110.1% higher since the Nov.5 election.Shares of Neuralink, Musk’s brain chip implant company, were trading on the secondary market at a valuation that was 25% higher as of Tuesday compared to Nov.
5.In its last known fundraising round in 2021, Neuralink raised $205 million, valuing the company at approximately $2 billion.By mid-2023, secondary market transactions indicated a valuation of around $5 billion.More recently, Forge Global estimated Neuralink’s valuation at approximately $9.32 billion.Last year, Reuters reported that some Neuralink staffers were making preparations to sell the brain implant company’s stock in the wake of its valuation jumping following its first human trial.These valuations reflect investor enthusiasm and the company’s progress in developing brain-computer interface technology.The trading platform...