The author argues Nvidia and SpaceX are partners rather than competitors, since Elon Musk said SpaceX will exclusively deploy Nvidia products for its AI work. SpaceX's Super Intelligence division grew revenue at an 830% rate in the third quarter, though an acquisition boosted that figure, and posted $431 million in operating income on $7.56 billion of revenue, a 5.7% margin, versus Nvidia's 66% operating margin and 106% growth. On valuation, SpaceX's roughly $2 trillion market cap equals about 41 times its expected 2026 revenue of $48.6 billion, while Nvidia's $5.1 trillion market cap is about 12 times expected revenue of $411.7 billion. The author concludes Nvidia is about three times cheaper on this measure and a far safer pick, though SpaceX could still be a solid AI choice.
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