Key facts
- SpaceX's initial public offering is expected to be the largest ever.
- The company plans to issue 555,555,555 shares at $135 each, valuing it at approximately $1.75 trillion.
- SpaceX generated $15.5 billion in revenue last year but reported a net loss of nearly $5 billion.
- Morningstar estimated the fair value of SpaceX's rocket and Starship divisions at $611 billion, significantly lower than the IPO valuation.
- SpaceX acquired xAI, Elon Musk's AI company, which contributed minimally to revenue and incurred substantial operating losses.
- The company is now publicly traded and valued at over $2 trillion.
SpaceX has officially gone public, with its initial public offering (IPO) valuing the company at over $2 trillion. This landmark event is poised to make its founder, Elon Musk, the world's first trillionaire. The company, known for its ambitious goals in space colonization and its development of reusable rockets and the Starlink satellite internet service, is also heavily investing in artificial intelligence through its acquisition of xAI.
Despite its impressive engineering achievements and significant revenue generation, SpaceX is not yet profitable, reporting a net loss of nearly $5 billion last year due to substantial capital investments in projects like the Starship rocket. Financial research firm Morningstar offered a more conservative valuation of $611 billion for SpaceX's rocket launch and Starship divisions, significantly below the IPO target.
The company's strategy includes integrating xAI, the developer of the Grok AI chatbot, into its operations. However, xAI has so far contributed minimally to SpaceX's overall revenue and incurred substantial operating losses. The prospectus highlights SpaceX's long-term vision of Mars colonization, citing the potential extinction of humanity as a motivation for its endeavors.