Elon Musk’s SpaceX has confidentially submitted paperwork for a U.S. initial public offering, according to two sources who spoke with Reuters on Wednesday. The move sets the stage for what could become the largest stock market debut in history.
A Historic Valuation
The public listing could value the combined entity at over $1.75 trillion, following SpaceX’s merger with Musk’s artificial intelligence startup xAI. That deal valued SpaceX at $1 trillion and xAI—the developer of the Grok chatbot—at $250 billion.
SpaceX currently launches more rockets than any other company and offers investors a chance to back humanity’s return to the moon as well as its ambitious goal of colonizing Mars. The company also aims to place AI data centers in orbit while operating a highly profitable satellite communications system, Starlink, which provides internet access to much of the globe and is increasingly used in military operations.
Adding to the appeal, SpaceX is led by Musk, the world’s richest person, who has already transformed Tesla into the most valuable automaker.
Analyst Events and Valuation Challenges
SpaceX is hosting an analyst day on April 21 and encouraging research analysts to attend in person, according to a source. The company is also offering an optional visit to xAI’s “Macrohard” data center site in Memphis, Tennessee, on April 23, followed by a virtual session on May 4 to discuss financial models with banks’ research analysts.
Valuing the conglomerate is no easy task, but Musk’s leadership makes it easier for some investors to buy in. Angelo Bochanis of Renaissance Capital noted that while investors could use a sum-of-the-parts analysis, “like with Tesla, SpaceX’s valuation could very much fluctuate wildly based off how much the public believes in Musk’s vision.” He added that investors seem eager for any exposure to SpaceX.
Much of the $1.75 trillion valuation hinges on the Starlink satellite business, according to Shay Boloor of Futurum Equities. “Starlink is the only reason this valuation is defensible,” Boloor said, calling it “the recurring revenue engine” with 9 million subscribers, defense contracts, and its own data network.
Largest IPO Ever?
The Starbase, Texas-based company could seek to raise more than $50 billion in the IPO, easily surpassing Saudi Aramco’s 2019 flotation, which currently holds the record for the largest IPO. A blockbuster SpaceX debut could revive the IPO market after years of subdued activity, with strong expected demand from both retail and institutional investors—some drawn by Musk’s brand, others by SpaceX’s fast-growing space and Starlink businesses.
SpaceX is currently the world’s most valuable privately held company, based on the valuation implied by its merger with xAI. The rocket startup was last valued at around $800 billion in a secondary share sale.
Broader Implications
Other high-profile startups, including OpenAI and Anthropic, are also reportedly considering large IPOs, which would test investor appetite for new listings. Many large startups have stayed private longer by tapping private capital, but a SpaceX listing could encourage more of them to go public.
Bloomberg News first reported on the confidential filing earlier Wednesday. A confidential filing allows a company to submit IPO documents privately, giving it time to address regulatory feedback away from public scrutiny.
A public listing would deepen analyst and investor scrutiny of “Muskonomy”—the billionaire’s sprawling business empire—bringing renewed focus to how his companies are financed, governed, and valued. Minmo Gahng of Cornell University noted that “a likely dual-class share structure would let Musk tap public capital while retaining firm control, even after the substantial dilution that comes with a public offering.”
Musk also runs Tesla, Neuralink, and The Boring Company, and last year folded social media platform X into xAI through a share swap, giving the AI startup access to X’s data and distribution network.
Potential Concerns
Some analysts warn that questions about Musk’s ability to oversee multiple companies with market values exceeding $1 trillion could temper investor enthusiasm. However, Kat Liu of IPOX noted, “It is understandable that investors would be concerned with Musk overseeing multiple significant enterprises, especially given his polarizing public profile at times. However, SpaceX appears somewhat differentiated. The business is operationally mature, technologically ahead in several key areas, and profitable, which provides a solid fundamental underpinning.”
The IPO news comes as NASA is set to launch four astronauts on a 10-day flight around the moon—the most ambitious U.S. space mission in decades. SpaceX generated approximately $8 billion in profit on $15–16 billion in revenue last year, Reuters reported in January.
A growing number of billionaires and private firms, including Jeff Bezos’ Blue Origin, have fueled a new space race in the U.S., investing heavily in rockets, satellite networks, and lunar ambitions.
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