#capital-intensity

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Venture
fromThe Cipher Brief
4 days ago

A Bridge Too Small: Why $49 Billion Can't Fix a $1.5 Trillion Problem

A $1.5 trillion defense budget increase may not restore military advantage if 1950s-era bureaucracy cannot absorb modernization needs.
fromFortune
2 months ago

To justify a $1.5 trillion market cap after its IPO, SpaceX would need to earn more than Berkshire Hathaway. Today, it earns zero. | Fortune

SpaceX generated some $15 billion revenues last year, and it's been widely reported that it booked roughly $8 billion in EBITDA. The scenario circulating widely in the media, and not refuted by Musk, shows a loss of $2.4 billion for the first 9 months of 2025. These numbers don't include interest and depreciation, the latter SpaceX's outlays for plant and equipment. Knitting this limited view of the now-united businesses, it appears likely that the current SpaceX is showing zero or even negative GAAP earnings.
Venture
US news
from24/7 Wall St.
3 months ago

Coherent Live: Complete Coverage Of COHR's Q2 Earnings

Coherent Inc must sustain AI datacenter-driven valuation despite strong earnings, rising margins, and stock gains while free cash flow and capital intensity raise execution concerns.
Artificial intelligence
fromBusiness Insider
4 months ago

'Big Short' investor Michael Burry says AI is turning Big Tech into a worse business

AI-driven capital intensity is reducing Big Tech's return on invested capital, threatening historically high ROIC and exerting long-term downward pressure on share prices.
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