The Baron Capital CEO's conviction in the private space exploration company springs from the extraordinary growth seen since his original investment in 2017

June 27, 2025 | 10:00am

Ron Baron says he will never sell SpaceX in his lifetime

The Baron Capital CEO's conviction in the private space exploration company springs from the extraordinary growth seen since his original investment in 2017

Billionaire investor Ron Baron said he's holding on to his position in Elon Musk's SpaceX for the rest of his life. "I think that we're going to hold that for another probably 10 years in SpaceX at least," Baron told attendees at the Morningstar Investment Conference in Chicago. "And I don't think, in SpaceX, I'll ever sell a share in my lifetime." The conviction of the Baron Capital chair and CEO in SpaceX comes largely from the extraordinary growth the privately-held space exploration company has seen since Baron's original investment in 2017. Baron, who's invested roughly $1 billion in SpaceX, said that the holding has since ballooned to roughly $4.5 billion. At the end of March, SpaceX was the second-largest holding in the Baron Partners Fund, roughly 18% of the portfolio, behind Tesla, at about 30%. "We've been one of the largest, if not the largest, purchaser on each one of these transactions since then. Invested a billion, now worth $4.5 billion. I think that in a company worth $350 billion, I think that in 10 years, we're going to make 10 times our money again," Baron said. "Elon thinks that's a ridiculous number. He thinks we're going to make 30 times." "Alpha is everywhere you're looking, if you're willing to buy something that you have to imagine what it will become," he added. TSLA 5Y mountain Tesla, over five years As a private investment, SpaceX is the exception for Baron, largely due to his admiration for Musk and his preference for what he's called "exceptional executives." Baron made his name by emphasizing public growth companies. In his keynote address in Chicago, Baron described first meeting Musk in 2010, saying he kept tabs on the unorthodox businessman for years before investing in one of his companies. "I met him in 2010. And he comes to my office ... he's wearing cargo pants, he's unshaven, his hair is all over the place. He's wearing a plaid sport jacket and a plaid shirt, and they don't match," Baron said. "And so, we're talking, and he's telling me how he's going to have 20 million cars a year." "That didn't seem very credible to me," Baron continued. "And so, I kept following him, kept studying him, and kept visiting him. Every few months, I call him out." Baron, 82, invested $400 million in Tesla between 2014 and 2016. Tesla is down more than 19% in 2025 after soaring 63% in 2024 and more than doubling in 2023. Earlier this year, Baron said he has no intention of selling any shares of Tesla.

This story originally appeared on: CNBC - Author:Sarah Min