SpaceX Stock Surges 19% in Record $2 Trillion IPO

SpaceX shares closed up 19% at $160.95 on Friday, capping the largest initial public offering in history [2]. The debut pushed the company’s valuation past $2 trillion and made Elon Musk the world’s first trillionaire, with his fortune estimated at $1.1 trillion [1, 2].

Record demand and valuation

The company priced its offering at $135 per share, raising $75 billion and securing a valuation of $1.77 trillion before trading began [1]. Investor demand reached $250 billion, nearly four times the planned offering, with BlackRock placing an order for at least $5 billion and retail investors requesting more than $100 billion in shares [1]. The surge in trading lifted SpaceX’s market capitalization to approximately $2.1 trillion, surpassing Saudi Aramco and Tesla to become the world’s seventh-largest firm [1, 2]. The company claims an addressable market of $28.5 trillion across its broadband, mobile, and AI infrastructure businesses [1].

Financials and governance scrutiny

Despite the record valuation, SpaceX reported a net loss of $4.28 billion in its latest quarter and a loss of $4.94 billion for 2025 [1]. The company’s connectivity arm, Starlink, generated $4.69 billion in revenue, representing 69% of quarterly sales, while the space unit and AI division posted losses [1]. The offering faced scrutiny from Senator Elizabeth Warren, who urged the SEC to delay the IPO citing concerns over Musk’s 85% voting control and investor protections [1]. Legal scholars have criticized the governance structure, noting it limits shareholder influence [1].

Market reaction

The debut coincided with a broader rally in U.S. markets, where the Dow Jones Industrial Average gained 353 points, or 0.7%, and the Nasdaq rose 0.3% [2]. The positive session followed signals from the Trump administration regarding a potential peace deal with Iran and data showing consumer sentiment rose in June for the first time in three months [2].

What to watch

• SpaceX's ability to stem losses in its AI and space units, which lost a combined $3.1 billion last quarter [1].
• Regulatory response to Senator Warren’s request for an SEC review of governance and valuation [1].
• Capital expenditure levels, as AI spending drove $7.7 billion of the $10.1 billion in quarterly capex [1].

The listing marks a historic moment for the private space industry, transforming a company founded in a warehouse into a public entity valued higher than the world's largest energy and automaker firms [1, 2].