SpaceX extended its post-IPO rally on Tuesday, with shares rising another 4% as investors continued to pour into Elon Musk’s space and AI company. At one point during the session, SpaceX briefly surpassed Amazon in market value and even edged past Microsoft before giving back some gains later in the day. The stock has now climbed more than 60% from its IPO price of $135, making it one of the strongest public market debuts in recent years.
Much of the excitement reflects investor belief in SpaceX’s long-term growth story. The company dominates the satellite internet market through Starlink and remains the clear leader in reusable rocket launches. Musk has also tied the company more closely to artificial intelligence after merging it with xAI earlier this year, giving investors exposure to two of the market’s hottest themes.
The enthusiasm comes despite the company’s financial challenges. SpaceX generated $18.7 billion in revenue last year but remains unprofitable, posting billions of dollars in losses. Musk has suggested the company could eventually generate $1 trillion in annual revenue, a target that many investors see as ambitious but central to the stock’s valuation.
Not everyone is convinced the rally can continue. Some analysts argue that expectations have risen faster than the underlying business. With the company now trading at one of the highest valuations in the market, investors will be watching closely to see whether SpaceX can deliver the growth needed to justify the excitement surrounding its historic debut.
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