Joining us now is Nic Puckrin.
He's a former Goldman Sachs analyst and founder of Coin Bureau, a research and education platform that built its name on in digital assets and now covers the wider investment landscape from.
AI to macro. hello Nic thank you for joining us, uh, today and let's start first with a bigger story also that we, uh, we saw this weekend um as well.
Let's start with the deal now and US and Iran agreed to end their war.
Oil tumbled as we see, and gold and Bitcoin both rallied.
Walk us through what happened with the markets.
Well, yeah, I mean I thought after 39 times could this be the final one, yeah, when I saw the news, so it seems as if uh we could be coming to some sort of a resolution, uh, it's now they're going to sign the deal for a 60-day, it's an MOU so as you all know, an MOU is more like the merandum of understanding, it's not legally binding.
So, uh, that's going to be signed on Friday.
Now the, the markets have taken a breather.
Obviously we've seen stocks rally, risk on assets, oil has collapsed, bond bonds have rallied, yields have come down.
So the markets are taking this at face value, immediately, immediately, exactly, it happened yesterday, it happened on the weekend with regards to crypto prices.
So I know that it's a very tenuous time right now in terms of like trying to in terms of how quickly things can change, and there's still a lot of outstanding questions including what's going on with Israel and Lebanon, what's going on with the nuclear enrichment, the Strait of Hormuz, but right now.
Markets are rallying and taking a sigh of relief from this, and it's taking all risk assets up with it.
I think we're going to see now until Friday, as you mentioned.
So gas prices here in the also just hit a 4-year high.
Could we see a relief at the pump now?
In terms of petrol prices for low, yeah, I think it's the petrol and the oil is a homogeneous commodity around the world, right?
So if prices come down, the spot price comes down in the global spot price comes down, it's going to impact on downstream, uh, synthetics of that fuel itself.
So therefore we should see a. in terms of fuel prices here in the UAE as well and gas prices.
Yeah, it's going to be good news for the week at least.
Now, all right, back to SpaceX next.
SpaceX is now trading around $192 from its IPO price, which was $150.
Is that valuation or today's valuation, let's say, is it justified?
By most traditional metrics, no, in terms of you're talking at about at current levels of a market cap of $2.2 trillion so it went to IPO at $1.75 trillion it's now $2.2 trillion.
If you're taking it at an $18.7 billion in revenue from uh last year, we're talking about 143 times revenue, which is just unheard of for a new company coming to the market, so.
In terms of valuation, but you're paying for that revenue, it's incredibly high.
Uh, so, but then again, many people are betting on the vision in terms of what Elon Musk is selling, in terms of the future, uh, for orbital data centers, for the AI play, this whole AI hyperscale build out.
So they're pricing in a lot of potential upside and indeed the banks have got.
You know, quite optimistic projections in terms of where revenue could be even in just 3 years' time.
For example, all of the banks like Goldman Sachs and Morgan Stanley, they've got projections of the AI part of the business 100x in terms of revenue in the next 3 years, just for that AI part.
So there's a lot of opium, the term we use to basically build into that valuation.
But I think Elon Musk's track record speaks for himself.
Thank you, uh, Nick, for joining us today.
Thank you so much.
My pleasure.
Thanks for having me.
Thanks.
I appreciate it.
