For years, SpaceX was the one everybody wanted to own and nobody could. That changed on June 12, 2026, when Elon Musk's rocket-and-satellite empire completed the largest IPO in US history, opening at $150 per share, raising about $85.7 billion, and landing a valuation near $1.75 trillion. Now, less than two months later, SpaceX (SPCX) has delivered its first earnings report as a public company, and the reaction has been dramatic: the stock recently traded around $110, down roughly 12% in a single day and well below its IPO price. Here is the full breakdown of what SpaceX just reported, why the stock is falling, and what Musk is promising next.
The revenue blowout
Start with the headline, because it is genuinely impressive. SpaceX reported second-quarter revenue of $7.8 billion, up a stunning 92% from a year earlier and comfortably ahead of the roughly $6.7 billion analysts expected. Very few companies of any size grow the top line at that pace. On revenue alone, this was a blowout.
The bottom line was softer but improving. SpaceX still lost money, posting a net loss of $541 million and a per-share loss of $0.09. But that is a big improvement from the $4.3 billion loss in the first quarter, and the $0.09 loss came in far better than the $0.26 loss Wall Street feared. The trajectory is heading in the right direction, even if the company is not profitable yet.
The surprise: SpaceX is becoming an AI company
Here is the twist almost nobody outside the company saw coming. SpaceX's fastest-growing business is not rockets, or even satellites. It is artificial intelligence. Its AI segment revenue soared 247% year over year to $2.6 billion, driven by compute deals with names like Anthropic and Google. SpaceX is quietly turning its infrastructure and energy expertise into an AI-compute business, and it is scaling fast. That pivot is also the source of the stock's pain, which we will get to.
Starlink: the cash engine
The steadier engine underneath it all is Starlink. Connectivity revenue jumped 66% from a year earlier, and the subscriber base doubled to 12 million. There is a wrinkle: average revenue per user is falling as SpaceX pushes into international markets with cheaper plans, trading margin for scale. But the direction is clear, and the company plans to launch more than 1,000 next-generation V3 satellites over the next year to widen its lead in space-based internet.
Why the stock is falling
If revenue soared and the loss shrank, why did SPCX drop double digits? Two reasons.
First, the spending. Capital expenditure exploded roughly sixfold to $18.4 billion in the quarter, with the vast majority, about $15.8 billion, going into AI infrastructure. That is an enormous cash outlay, and it is exactly what analysts flagged: an earnings beat outweighed by soaring AI costs. Investors love AI revenue, but they are nervous about a company burning this much cash to chase it while still posting losses.
Second, timing. SpaceX's post-IPO lockup period expires in early August, which means insiders and early investors can begin selling shares for the first time. The prospect of a wave of insider selling tends to pressure any newly public stock, and SPCX is no exception. A red-hot IPO that opened at $150 has now drifted down toward $110.
Curious how the fundamentals actually stack up? You can follow SpaceX's live numbers on our SPCX stock page.
Musk's trillion-dollar plans
For all the short-term noise, the ambition on display is staggering. SpaceX told investors it expects to hit a $100 billion annualized revenue run-rate by the end of 2026. More striking, it pulled forward its internal target of $1 trillion in annual revenue to 2030, a year earlier than previously planned. The logic Musk has always pitched is intact: Starlink and now AI throw off the cash that funds cheaper, more frequent launches, which in turn funds the ultimate goal of Mars.
It is worth remembering that the only other Musk-run public company is Tesla (TSLA), and the two now offer investors very different bets: Tesla on cars, robots and autonomy, and SpaceX on launch, satellite internet and, increasingly, AI compute.
The Takeaway
SpaceX going public is one of the biggest market events in years, and its first earnings report captures both the promise and the risk. The promise: 92% revenue growth, a dominant Starlink franchise, a booming AI business, and a founder chasing a trillion-dollar future. The risk: the company is still losing money, spending colossal sums on AI, and facing an insider share unlock that can weigh on the stock in the near term, all at a valuation that already assumes years of success. For investors, SPCX is not a quiet compounder. It is a high-growth, high-spend, high-volatility bet on Elon Musk delivering the future he keeps promising. If you own it, own it with a long horizon and a strong stomach for the swings.
This article is for informational purposes only and is not financial advice. Figures are approximate and change with the market. Always do your own research before investing.Related Reading
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