SpaceX's first quarterly results as a public company beat expectations, but AI costs hit stock
SPCX•Wall Street comments
Thomas Monteiro, senior analyst at Investing.com:
"The central question for SpaceX's first quarter as a public company was whether the machine underneath the story actually works, and on that question Elon Musk and his team delivered a few positives.
"The AI segment also surprised to the upside, moving from a pure cash sink toward something with a visible commercial engine, and management pressed the advantage with the Cursor acquisition. The caveats have not gone away. The revenue still leans on a short list of large customers, and the new deal raises the stakes rather than lowering them, but the direction of travel this quarter was clearly bullish.
"The harder read is the quality of that profit beat. The impressive profitability headline is largely a function of what gets added back, chiefly depreciation, and beneath it is a company still building at extraordinary intensity, running close to breakeven at the operating line and consuming cash at a rate few businesses could carry.”
