Sequoia Partner Shaun Maguire is an investor in SpaceX (NASDAQ:SPCX) via his company and personal holdings. The investor shared his thoughts on the company going public and why investors may be undervaluing future opportunities.
SpaceX IPO
SpaceX went public on Friday with a valuation near $2 trillion, which Maguire told CNBC was an important milestone.
"This is a company that has the most important mission of any company I believe in history," Maguire told CNBC.
Maguire said this may be the end of the first chapter for SpaceX, with the next chapter focused on exploring the stars and on your grandchildren being able to go to the Moon.
On Elon Musk
Maguire’s relationship with Musk stems from personal and Sequoia investments in multiple companies owned by the billionaire.
"Elon is the most visionary entrepreneur of all time," Maguire said. His adulation didn’t stop there. Musk is also a "technical genius," a great salesman, and an underappreciated visionary, he added.
When it comes to investing in SpaceX and the potential that Musk may not always be around or currently have significant control over the company, Maguire said there "is some key man risk."
Future Growth of SpaceX
Shaun Maguire cited data centers, Starlink direct-to-cell, and expanded compute as key inputs in his SpaceX projections. He expects "dramatic growth" over the next three years and forecasts revenue reaching the hundreds of billions by 2030.
Starship, SpaceX's next-generation rocket system, will unlock trillions of dollars in addressable market opportunities, he added.
The investor reminded viewers that the SpaceX prospectus is based on first-quarter financials. Maguire estimates that by the fourth quarter of this year, revenue could dramatically increase by 200% year-over-year, with deals from Anthropic and Alphabet factored in.
Maguire said people are underestimating the opportunity in space, comparing growth in space to the invention of the railroad, which opened up the western U.S., or the sailboat, which expanded trade.
"Starship is the railroad to space," he said.
Maguire said Sequoia may sell their shares in the future or distribute them to investors, but he won't do the same for his personal stake.
"Me, as an investor, I'm going to hold my shares forever."
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