SpaceX Sets $1.77 Trillion IPO at 94x Revenue Despite $4.94B Loss
MORN•SpaceX has filed to price its IPO at $135 per share, valuing the company at $1.77 trillion, or roughly 94 times its expected 2025 revenue of $18.7 billion. The xAI merger flipped 2025’s $791 million net profit into a $4.94 billion loss and drove an accumulated deficit of $41.3 billion, even as profitable Starlink and launch services underwrite AI build-out costs.
1. IPO Pricing and Valuation
SpaceX plans to price its IPO at $135 per share, valuing the company at approximately $1.77 trillion and implying a multiple of about 94 times its projected 2025 revenue of $18.7 billion. The filing emphasizes a total addressable market of $28.5 trillion, with AI applications representing $26.5 trillion of that opportunity.
2. Profitability Impact of xAI Merger
Prior to the xAI merger, SpaceX reported net income of $791 million in 2024; after closing the all-stock deal in February 2025, the company posted a $4.94 billion net loss for the year and a $4.28 billion loss in the first quarter of 2026. The accumulated deficit now stands at $41.3 billion, with the AI unit alone losing $6.36 billion in operations last year.
3. Funding and Competitive Challenges
Profitable launch services and Starlink subscriptions, which reached 10.3 million users, are funding the AI business build-out, supplemented by compute deals with Anthropic and Google that carry 90-day cancellation clauses. Critics question how SpaceX will capture its massive AI market share against established rivals such as Google, OpenAI and Microsoft.
