SpaceX Slides Below $147, Greenspan Remembered, and RAM Prices Explode

Frequently Asked Questions

Why did SpaceX shares fall below $147, and what moves has Elon Musk made since the IPO?

SpaceX clipped under $147 the morning of the episode, leaving most post-IPO buyers who got in around $162 underwater. Since going public, Musk bought a $6 billion AI company, issued a roughly $20 billion bond offering to avoid diluting shares, and cashed out $7.5 billion in Tesla options. The company also signed a $6.3 billion computing deal with Reflection AI at its Colossus 2 data center in Memphis.

How much have RAM prices actually risen, and why does it matter for investors?

Andrew Horowitz cited Crucial 32GB DDR5 5600MHz RAM jumping from about $75 in mid-2025 to roughly $450, when the normal learning curve would put it near $60. Dvorak warned this is a supply-and-demand distortion, not a technology shift, so when prices normalize they could crash well below prior lows, potentially breaking memory makers like Micron that are banking on high-priced inventory.

What does Alphabet joining the Dow Jones Industrial Average mean for the index?

Alphabet will replace Verizon in the price-weighted Dow, and because Google trades around $350 per share, each $1 move translates to roughly $6.50 to $7 on the index. Horowitz calculated the swap lifts the Dow's technology weighting from about 17% to 22%, making the index more volatile and more exposed when the cyclical tech sector eventually turns down.

Why are the hosts skeptical of the current AI capex boom?

They highlighted analyst Chris Bloomstrand's view that hyperscalers are shifting from asset-light to asset-heavy models, with infrastructure spend absorbing nearly all operating cash flow and off-balance-sheet financing hiding true capital intensity. Microsoft CEO Satya Nadella called AI commoditized, Oracle cut 21,000 jobs citing AI deployment, and the hosts argue expected profits simply cannot be achieved across the board.

What was the Sleep Number "swing and a miss" that Horowitz described?

Horowitz has long argued mattress companies sell overpriced products on credit to buyers who cannot afford them. Sleep Number (SNBR) ran from about $40 to $140 during COVID before collapsing to roughly 10 cents, down another 13% the day of taping. He called it a missed short opportunity that could have been entered anywhere from $100 down to $20.

Who is Alan Greenspan and how did the hosts remember him?

Greenspan was the long-serving Federal Reserve Chairman who died at age 100, coincidentally the week after Dvorak and Horowitz had wondered aloud whether he was still alive. They dedicated the episode to him, calling him a brilliant man who reshaped the Fed and a "walking thesaurus" whose dense vocabulary at Fed meetings required deciphering, something modern AI tools could now translate into plain English.