Missed Nvidia in 2009? This Rare Signal Is Flashing Again.\u00a0In 2009, a “Double Down” signal flashed for a little-known chipmaker called Nvidia.\u00a0For the first time in years, that same “Total Conviction” signal is flashing for a company 1\/100th the size of Nvidia.\u00a0Continue \u00bb<\/a> <\/p>\n While many members of the general public still think of SpaceX as a space company, its IPO prospectus makes clear that SpaceX is a legitimate AI stock<\/a>. If its AI bets don’t take off, it will be very hard for SpaceX to justify its current $2 trillion valuation. <\/p>\n Investors should expect most of SpaceX’s IPO proceeds to be allocated to AI growth initiatives. This means SpaceX’s money will soon be in the hands of key suppliers to the AI industry. Two major AI stocks stick out as potential beneficiaries. <\/p>\n 1. Nvidia <\/p>\n Nvidia (NASDAQ: NVDA) is one of the dominant — if not the foremost dominant — suppliers to the AI industry globally. The company’s graphics processing units (GPUs) are widely considered best in class, with an estimated 85% market share in AI data centers. <\/p>\n SpaceX and its AI-focused subsidiary, xAI, are already massive purchasers of Nvidia products. SpaceX’s first supercomputer, the Colossus 1, for example, incorporates “over 220,000 Nvidia GPUs, including dense deployments of H100, H200, and next-generation GB200 accelerators.” SpaceX’s Colossus 2 data center, meanwhile, just signed a major deal in which another AI company will pay $150 million per month for access to the data center’s Nvidia chips. <\/p>\n SpaceX needs to build more data centers to support AI growth. And those data centers, at least for the time being, will continue to rely on Nvidia products. In short, expect the SpaceX IPO to directly increase Nvidia’s revenues. <\/p>\n 2. Tesla <\/p>\n Tesla (NASDAQ: TSLA) — another\u00a0of Elon Musk’s businesses — has benefited from SpaceX’s spending for years. It should continue to do so. Despite being a separate, independent business, Tesla is mentioned 87 times in SpaceX’s IPO prospectus. The two companies are tied at the hip in many ways. <\/p>\n Story Continues <\/p>\n SpaceX, for example, has purchased hundreds of millions of dollars’ worth of Tesla’s Megapacks: large, utility-scale battery storage units. In April alone, SpaceX purchased $269 million worth of Megapacks from Tesla. Total Megapack spending by SpaceX since 2024 now surpasses $1 billion. <\/p>\n SpaceX is using those Megapacks to help power its data center build-out. Those data centers, it turns out, could ultimately help Tesla in other ways. <\/p>\n In recent years, Tesla’s auto sales have been declining. Yet the company’s valuation remains well above $1 trillion. That’s because investors now believe Tesla’s future depends on AI and autonomous driving, not just car manufacturing. <\/p>\n Rapid advancements in AI have dramatically accelerated the abilities of self-driving technologies. That’s opening up new, potentially lucrative markets like robotaxis, which some experts believe will be a multitrillion-dollar opportunity. Tesla already has a pilot robotaxi service operating in several Texas cities. But its technology and real-world data still have a long way to go to scale globally in any meaningful way. <\/p>\n Fortunately, Tesla still has direct access to SpaceX’s burgeoning AI capabilities. Earlier this year, Tesla invested $2 billion into xAI, which later fully merged with SpaceX. So not only does Tesla have an incentive to support SpaceX’s AI build-out from a direct financial perspective, but it also wants SpaceX’s AI capacity to improve in order to advance its own AI and autonomy agenda. In short, SpaceX’s post-IPO spending spree should help Tesla in several ways over both the short term and long term. <\/p>\n Should you buy stock in Space Exploration Technologies right now? <\/p>\n Before you buy stock in\u00a0Space Exploration Technologies, consider this: <\/p>\n The Motley Fool\u00a0Stock Advisor\u00a0analyst team just identified what they believe are the\u00a010 best stocks<\/a>\u00a0for investors to buy now\u2026 and\u00a0Space Exploration Technologies\u00a0wasn’t one of them.\u00a0The 10 stocks that made the cut are built for long-term growth and could produce monster returns in the coming years. <\/p>\n Consider when\u00a0Netflix\u00a0made this list on December 17, 2004… if you invested $1,000 at the time of our recommendation,\u00a0you’d have $409,970!*\u00a0Or\u00a0when\u00a0Nvidia\u00a0made this list on April 15, 2005… if you invested $1,000 at the time of our recommendation,\u00a0you’d have $1,200,223!* <\/p>\n That performance is why people listen. With a track record of\u00a0beating the S&P 500 by 4x,\u00a0Stock Advisor\u00a0offers a distinct advantage. Don’t miss the latest top 10 list, available with\u00a0Stock Advisor, and join an investing community built for the long haul. <\/p>\n See the 10 stocks \u00bb<\/a> <\/p>\n *Stock Advisor returns as of July 7, 2026. <\/p>\n Ryan Vanzo<\/a> has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Nvidia. The Motley Fool has a disclosure policy<\/a>. <\/p>\n<\/a> Image source: Getty Images. <\/p>\n