SpaceX market cap tops Amazon, nears Microsoft as blockbuster IPO rally extends

SpaceX’s stock surged nearly 10% on Tuesday, pushing its market value to roughly $2.94 trillion at its intraday high, briefly surpassing Microsoft’s $2.93 trillion valuation and Amazon’s $2.66 trillion. The rally followed SpaceX’s record-breaking IPO and a 20% jump in its first full trading session, making it the fourth-most valuable listed company in the U.S. behind Apple, Nvidia, and Saudi Aramco globally. The company’s valuation gains were fueled by its dominance in satellite and reusable rocket technology, as well as Elon Musk’s push into artificial intelligence. SpaceX announced it would acquire AI coding assistant Cursor in a $60 billion deal, reinforcing its focus on AI integration. Musk previously combined xAI with social media platform X and later merged xAI with SpaceX, signaling broader ambitions in the sector. Investor enthusiasm also stems from Musk’s long-term revenue projections, with a weekend post on X suggesting SpaceX could reach $1 trillion in annual revenue by 2030. However, the company’s financials paint a different picture, with $18.7 billion in revenue for 2025 and a net loss of $4.9 billion, including a $4.28 billion loss in Q1 2026. Analysts remain divided on SpaceX’s valuation. Research firm CFRA initiated coverage with a “sell” rating, citing ambitious growth assumptions and a capital-intensive business model. Former Tesla board member Steve Westly warned of potential investor impatience if projections aren’t met, while Wedbush analyst Dan Ives argued that investors are betting on SpaceX’s role in the next phase of the industrial and AI revolution. For now, Wall Street appears willing to overlook near-term earnings challenges, with SpaceX’s stock rally continuing to draw significant attention.