• SpaceX shares surged 12% in the latest session, extending a multi-day rally and pushing the company's valuation into multi-trillion-dollar territory.
  • The post-IPO rally reflects strong investor appetite for high-growth space names, though analysts warn near-term profitability remains a concern.
  • Key catalysts ahead include quarterly results and regulatory signals on spectrum and export controls.

SpaceX’s publicly traded shares climbed as much as 12% on Tuesday, continuing a sharp rally since the company’s high-profile IPO last month. The stock’s surge has propelled the aerospace giant’s market capitalization above several trillion dollars, according to data compiled by Bloomberg.

The rally comes as investors pile into one of the few pure-play space companies with a public listing, drawn by SpaceX’s dominant position in launch services and its Starlink satellite internet business. “SpaceX is the undisputed leader in reusable rockets and low-earth orbit broadband,” said a portfolio manager at a large tech fund, asking not to be named discussing private views. “The market is pricing in a massive growth runway.”

However, the company’s profitability remains under scrutiny. While revenue has grown sharply from launch contracts and Starlink subscriptions, SpaceX has yet to consistently report positive net income, according to its IPO filings. Analysts at Morgan Stanley and Goldman Sachs have highlighted that the stock’s valuation hinges on Starlink’s ability to generate recurring cash flow and on the pace of Starship development, which has faced delays.

Regulatory and geopolitical factors also loom. The Federal Communications Commission is expected to rule on Starlink’s spectrum allocation later this year, and any changes could affect the business. Meanwhile, international tensions have spurred demand for secure satellite communications, benefiting SpaceX’s defense contracts.

“Investors are watching for any sign of headwinds on regulatory or competitive fronts,” said a space industry analyst at a consulting firm. “For now, the momentum is strong, but the bar is high.”

SpaceX did not respond to a request for comment.

Correction: An earlier version of this article misstated the valuation range. The company’s market cap has surpassed $1 trillion, but remains below $2 trillion.