SpaceX shares climbed to $211 after the company’s initial public offering on 12 June, a 56.4% rise from the $135 IPO price that left early buyers with a clear windfall — a £5,000 stake would already be worth £7,814.82.
The market move pushed SpaceX to a headline valuation of $2.5trn and a price‑to‑sales ratio of 130.4, numbers that dwarf conventional metrics: applying a P/S of 20 — itself extremely high — would place the company at $374bn instead.
The valuation rests heavily on Starlink. Customers for the satellite internet arm doubled to 10.3m in the last year, and Starlink accounted for $11.4bn of SpaceX’s total $18.7bn revenue in 2025 while producing $4.4bn of operating profit — the firm’s only clearly profitable segment in that period.
Even so, SpaceX recorded a $4.9bn net loss in 2025. Analysts expect revenue to rise sharply to $34.5bn in 2026 and $64.5bn in 2027, with loss per share narrowing from an expected $0.64 in 2026 to $0.09 in 2027, signalling a path toward profitability but not immediate gains.
Those projections explain part of the market’s willingness to pay up: a rapidly growing Starlink could turn a loss-making conglomerate into a cash engine. The friction is that forecasts for explosive revenue growth are being priced against a company already trading at a stratospheric multiple — a gap that requires both scale and margin expansion to close.
For investors who bought at the IPO price, the math is simple and salutary: the 56.4% jump turned a £5,000 bet into a £7,814.82 position, a £2,814.82 gain on paper. For those considering fresh purchases, the upside now sits hand in hand with elevated downside risk if the revenue ramp or margin improvements fall short of the analysts’ forecasts.
Putting the valuation in perspective, a P/S of 130.4 assumes future sales and profits that current results do not yet substantiate; even a P/S of 20 — used here as a conservative comparator by some analysts — still values SpaceX at $374bn, a level the article describes as extremely high given current earnings and losses.
The practical test for SpaceX’s market price will be the company’s next financial readouts and whether Starlink’s growth can sustain the scale implied by a $2.5trn market cap. The single most consequential unanswered question now is straightforward: will 2026 and 2027 revenue and margin trajectories materially reduce the disconnect between a $2.5trn valuation and a business that posted a $4.9bn net loss in 2025?
