Last year we featured an old post about an 89-year-old widow who wanted to buy tech stocks at the peak of the tech bubble and we called it the Sadie Berger Syndrome.
And today we’re hearing rumblings about how many octogenarian widows are chomping at the bit to get in on the SpaceX IPO coming on June 12th.
This reminds us that:
History doesn’t repeat itself, but it often rhymes.
~ Mark Twain ~
Hands down SpaceX is the biggest IPO in history valued between $1.75 Trillion and $2 Trillion dollars.
Ironically (or NOT) once SpaceX (SPCX) begins trading, its value will be higher than companies like Walmart, Meta, and Tesla.
Granted, SpaceX brings a lot to the table as far as opportunities like travelling in space and developing into a Jetsons like futuristic world.
And when you combine that with the AI frenzy taking place it’s easy to see how old widows (along with the rest of the population) can be easily be drawn in throes of an investment world they know very little about.
But you should note that in the process, the Boyz use motivational phrases like “Transformational Technology reshaping the future.”
However, in Case You Forgot… like the internet bubble from 1999, the story was how the internet was a transformational technology that would reshape commerce, communications, and culture.
Not surprisingly today, artificial intelligence (AI) carries the same irresistible promise of reshaping industries, creating productivity booms, and unlocking new frontiers.
The parallels are hard to miss, along with the current price action.
Questions: Does anyone out there remember how, within the last decade:
It was going to be 3D printers in every house
Stores were going to be obsolete
The market was going to grow to the trillions
We were going to have Star Trek replicators
Hundreds of billions were plowed into the sector
And thousands of different machines were available
But after reality set in it turned out the machines are incredibly useful for a handful of industries.
We’re not saying that SpaceX will be a failure.
Nor are we indicating that AI is pricing itself out of the markets.
But when little old widows (who shouldn’t be buying hyped up IPOs) come out of the woodwork thinking they’re going to hit the Big Enchilada with SpaceX, we’re reminded of the Sadie Berger Syndrome.
Translation: History doesn’t repeat itself, but it often rhymes.
