SpaceX hits $2 trillion in debut, sixth-largest US company
Elon Musk's space company SpaceX closed its Nasdaq debut at a $2 trillion market value, making it the sixth most valuable U.S. listed company. Despite revenue far below the tech megacaps, investors are paying a premium for the Starlink satellite business and future Mars ambitions.
SpaceX shares traded 24% above their opening price at Friday's Nasdaq close, lifting the company's market value to roughly $2 trillion. That puts SpaceX behind only Apple, Nvidia, Microsoft, Alphabet and Amazon among U.S. listed firms. CNBC reported annual revenue of about $14 billion, which leaves the price-to-sales ratio well above historical norms.
Investors are crediting the premium to Starlink's subscriber growth and to SpaceX's dominant position in the reusable-rocket launch market through Falcon 9. Morgan Stanley analysts project Starlink revenue could top $25 billion by 2027. Long-term Pentagon contracts for the proliferated low-Earth-orbit constellation also add visibility to forward earnings.
Elon Musk's combined net worth was estimated above $1 trillion at the closing bell. The listing closes the arc from a 2002 start-up given a 10% chance of success to Wall Street's most-talked-about debut of the decade. The first crewed Starship mission to Mars has reportedly been pushed beyond 2028.
Read next
Diaspora Jewish groups publicly distance themselves from current Israeli government policy
Jewish diaspora groups in the United States, United Kingdom and Germany have launched a campaign distancing themselves from the Israeli government's policies after Bezalel Smotrich joined the New York Israel Day Parade. Group representatives told Al Jazeera the government does not speak for all Jews.
South Australia: Fleurieu Peninsula launches housing fix for tourism pressure
Japan and Italy to issue G7-eve joint pledge on space regulation
Beijing calls expanded Pentagon blacklist of Chinese firms 'power abuse'
Europe calls Anthropic's Fable 5 and Mythos 5 shutdown a 'sovereignty wake-up call'
