Getting your Trinity Audio player ready...

How to Invest in Starlink: Is it Worth it?

Introduction to Starlink and Investment Opportunities

Starlink, a project of SpaceX, is changing the world as it proceeds to influence the satellite internet industry by providing high-speed internet and excellent internet connectivity, and the reason for its popularity is that its providing internet into the most remote locations. SpaceX is such huge company now that it requires no introduction, founded by Elon Musk, this project aims to bring Broadband Internet all over the world through satellites.

With its rapid growth in the market, investors and tech heads are eager to buy Starlink stocks, unfortunately Starlink stocks are not publicly traded yet, as it is still an ongoing subsidiary of SpaceX, hence you can’t invest in Starlink directly. But still there are ways to get more exposure to Starlink’s potential IPO.

We will walk you through how to Invest in Starlink, what to expect and what are the benefits.

What Is Starlink?

Understanding Starlink’s Business Model

Basically, Starlink is a satellite-based internet service provider founded by Elon Musk. It provides a high-speed internet to rural and deserted areas. Its really different from fiber or cable internet as it orbits the earth at low altitudes, reducing latency and improving connection speed.

Why Investors Are Interested in Starlink?

Market Demand

Starlink is most popular cause of its network connectivity even in the rural areas

Cutting-Edge Technology 

Its use of low-Earth orbit satellites makes a huge impact as a competitor in the industry of internet providers.

Potential IPO

Investors are waiting for Starlink to go public, making Starlink stock already in high value.

It’s Backed up by SpaceX

One of the most prominent features of Starlink is, it’s a project of SpaceX and it’s backed up by none other than Elon Musk himself. 

Can You Buy Starlink Stock?

Is Starlink Publicly Traded?

Currently, Starlink is not publicly traded. Since its still under SpaceX, individual investors cannot purchase Starlink shares from the stock market.

Still, there are alternative ways to gain exposure to Starlink. 

How to Invest in Starlink Before the IPO

1. Investing in SpaceX

Since Starlink is still a project of SpaceX, one way to have exposure of Starlink before IPO is by investing in SpaceX, but SpaceX is also a privately held company meaning its shares are not available in the stock market either.

However, some investors may gain access to SpaceX shares through:

  • Private Firms that hold SpaceX stock.
  • Platforms like EquityZen and Forge Global which have pre-IPO
  • Project Capital Funds that invest in SpaceX

2. Pre-IPO Investment in Starlink

If Starlink announces its going public for stock traders, investors may get the opportunity to buy pre-IPO shares. Pre-IPO platforms do offer shares of private companies sometimes.

Popular pre-IPO investment platforms include:

  • Forge Global
  • EquityZen
  • SharesPost

3. Investing in Companies That Work with Starlink

Another good strategy is to find companies that have invested in Starlink or companies who are partnered with SpaceX or Starlink. 

  • Satellite manufacturers
  • Aerospace technology firms
  • Companies providing Starlink’s hardware components

While investing in these companies might not give direct ownership of Starlink or SpaceX, they will still offer benefits from Starlinks growth.  

Starlink IPO: When Will Starlink Go Public?

Will Investors be able to buy stocks in near future?

Elon Musk has hinted that Starlink will soon be able to get public once it has reached it completion. There is no official date of its release yet, but many analysts predict looking at the status of the company that it will be going public in the next few years. 

Why a Starlink IPO Would Be Exciting for Investors

It would be exciting because

  • It will allow an exponential growth in the stock market
  • Retail Investors will be able to buy Starlink stock.

Before Starlink go public its crucial to show constant growth in profit as the investors and tech heads are eager for its release and they all have a lot of expectations tied with its release.

How to Buy Starlink Stock When It Goes Public

Steps to Buy Starlink Stock After the IPO

  1. You first have to make brokerage account on platforms like E-Trade, Fidelity, or Robinhood.
  2. When the IPO date has been announced look for the name or the symbol of the project in this case Starlink
  3. Analyze the market and study the graph and observe the stock price for financial reports, revenue growth, and market position.
  4. Once the Starlink stock is available, purchase your desired amounts of share.
  5. After purchasing track its performance in the stock market and adjust your strategy as needed.

IPO Investment Strategies

  • Buy on the day of IPO to capitalize on price surges
  • Waiting is the main element as the market often fluctuate after an IPO release for a good profitable entry point
  • One good strategy is to hold the stock for long term investment as the market may show exponential growth, it will be profitable!

Risks and Challenges of Investing in Starlink

1. Market Unpredictability

Tech industry and satellite internet stocks can be unpredictable, leading to some serious ups and downs.

2. Competition

Other satellite internet providers, such as Amazon’s Project Kuiper, can become a competition market, but as of now Amazon doesn’t stand a chance infront of Starlink as its in the satellite business way before Amazon started its satellite service, but its tech we are talking about, you can never be too sure about anything specially in competitions of the tech market. 

3. Uncertainty of IPO Release

Because its still a working project of SpaceX, and even though Elon Musk hinted its release to be soon enough, there is official release date nor any guarantee that it will be listed on the market for sure.

Should You Invest in Starlink? The Decision is Yours!

Investing in this can be a game-changer specially for people who are eager for its release, but if things don’t go according to the expectations of fans it can be a real downgrade even for SpaceX itself, we can hope that it will soon be released and certainly if it does, the opportunity should not be missed.

As it is expanding it will give more opportunities and more exciting news will be coming in the next years so stay tuned!

Post a comment

Your email address will not be published.

Related Posts