Elon Musk's SpaceX would already have an IPO price: how much will its share cost
Elon Musk's SpaceX announced the share price with which it plans to debut on the stock market, expecting a record valuation of $1.77 billion
Although the exact date when SpaceX will be listed on the stock market is not yet known, Elon Musk's company has already announced the trading price of its shares in its debut on Wall Street. The aerospace company's initial public offering (IPO) could become the largest in history.
This Wednesday, Space Exploration Technologies Corp., better known as SpaceX, announced that it plans to offer 555,555,555 shares at a price of $135 each. With this operation, the company would seek to raise up to $75 billion, a figure that would far exceed the $26 billion obtained by the oil company Saudi Aramco during its historic IPO in 2019.
What does it mean if a stock costs $135?
For those who are not familiar with the world of investments, the starting price represents the cost that each share will have when the public offering begins. In this case, acquiring a share of SpaceX would require an initial investment of $135.
It's similar to when a company opens its doors to the public and divides its property into millions of small parts. Each share represents one of those portions. The more confident investors have in the future of the business, the greater the interest could be in purchasing those securities.
However, the price of a stock does not guarantee profits. Once it begins trading on the market, the value may rise or fall depending on factors such as the company's financial results, growth expectations and global economic conditions.
Elon Musk would maintain control of the company
Although SpaceX would open part of its capital to the public, Elon Musk would continue to have almost absolute control of corporate decisions. According to the documentation presented for the initial public offering, the businessman would retain approximately 82.4% of the voting power thanks to his participation in Class B shares, which grant ten votes for each share.
Currently, Musk's estimated fortune is around $826 billion. A $1.77 trillion valuation for SpaceX could significantly increase that equity and bring it closer to an unprecedented figure in modern financial history.
An ambitious company, but with million-dollar losses
Despite the enthusiasm generated by the operation, SpaceX's financial situation presents significant challenges. The company reported operating losses of $2.6 billion over the past year, despite generating revenue of $18.7 billion.
This means that, although its projects arouse great interest among investors, the company still spends more money than it makes in its operations. Part of these resources are allocated to the development of new space technologies, reusable rockets and satellite systems such as Starlink, one of the group's main commercial bets.
SpaceX bets on artificial intelligence
One of the aspects that has attracted the most attention of the IPO document is the long-term vision presented by the company. The prospectus outlines plans to boost future space missions and contribute to the establishment of a permanent human presence outside Earth. Among the objectives is the development of infrastructure that will eventually allow the construction of a human colony on Mars.
At the same time, SpaceX is looking to expand aggressively in the artificial intelligence sector. The company believes that this technology could become one of its largest sources of income for decades to come.
“The AI market continues to boom, just in time for SpaceX to go public next week,” said Kathleen Brooks, director of research at brokerage firm XTB.
However, some specialists consider that the path will not be easy.
“Less impressive than anything we see from any other major player in the space, whether it's OpenAI, Anthropic or Gemini,” said IDC analyst Arnal Dayaratna, referring to the Grok chatbot.
SpaceX could open the door to more technology giants
The arrival of SpaceX on Nasdaq, where it plans to list under the symbol SPCX, could also mark the beginning of a new stage for large technology companies focused on artificial intelligence.
“This IPO represents the first major test for the public markets after years of weak IPO activity, with SpaceX paving the way for AI giants Anthropic and OpenAI to follow soon after,” wrote Dan Ives, an analyst at Wedbush Securities.
For now, both investors and consumers in general are carefully observing every step of Elon Musk and his companies. The expectation is enormous, but so are the risks. As with any IPO, the real challenge will begin when shares begin trading and the market determines whether ambitious growth promises can be turned into concrete results.