SpaceX Executes Largest IPO in History Amid AI Expansion

Space Exploration Technologies Corp. went public on June 12 in the largest initial public offering in history. Shares initially surged from $135 to a record $211.39 before settling near $108. Despite this volatility, Wall Street analysts maintain an average price target of $236.71, with some targets reaching as high as $800.

The company is currently unprofitable due to the rapid expansion of its AI segment, which encompasses xAI, X, and Cursor. However, revenue grew 33% to $18.7 billion in 2025, largely supported by the Starlink satellite service and its 10.3 million subscribers. Investors view the company as a future integrated provider of space transportation, satellite internet, and AI infrastructure.

Analysts project a return to profitability by 2027, with revenues expected to reach $141.6 billion by 2028. Elon Musk has set a significantly more ambitious outlook, claiming the company could generate more than $1 trillion in revenue by 2030.