SpaceX Debuts at $1.77 Trillion Valuation on Record $75B IPO, June 12

SpaceX priced its initial public offering at $135 per share on June 11, raising $75 billion and debuting on Nasdaq on June 12 under ticker SPCX. The company values at $1.77 trillion, making it the largest IPO ever and nearly three times bigger than Saudi Aramco’s 2019 record of $29.4 billion. Elon Musk, who controls over 80% of voting power, becomes the world’s first trillionaire on paper. The deal tests investor appetite for AI, satellite internet, and space exploration combined into one conglomerate.

Record-Breaking Numbers That Reshape Markets

SpaceX issued 555.5 million shares at $135 each, raising $75 billion in fresh capital. Underwriters hold an option to buy an additional 83.3 million shares, potentially bringing total proceeds to $86 billion. The IPO was oversubscribed three to four times, with over $250 billion in bids from investors. At $1.77 trillion, SpaceX debuts as the most valuable company on its first trading day. The prior record holder, Saudi Aramco, raised $29.4 billion in December 2019. Musk’s stake makes him the world’s richest person, with a net worth exceeding $1 trillion on paper.

Three Businesses, One Massive Bet

SpaceX combines three separate operations: reusable rockets for space exploration, Starlink satellite broadband, and xAI artificial intelligence. Starlink generated 60% of revenue in 2025 and is the only profitable unit, earning $4.4 billion in operating profit. The rocket business remains unprofitable, while xAI posted a $6.4 billion operating loss. At $1.77 trillion, SpaceX trades at roughly 92 times trailing sales. Morningstar research values the stock at only $63 per share, warning of a major disconnect between market expectations and fundamentals.

Musk Controls the Company and the Risk

Musk retains over 80% of voting power through a dual-class share structure, holding 850 million regular shares and 5.5 billion shares with ten times voting power. He serves as CEO, board chair, and chief technology officer simultaneously. Analysts note the IPO is partly a bet on Musk himself, according to Renaissance Capital. The company disclosed that it is highly dependent on Musk’s work and success. Tesla’s share price and 2025 profits fell when Musk shifted focus to leading DOGE, the government efficiency department.

Regulatory and Legal Headwinds Loom

Tech accountability groups warned investors on June 12 that SpaceX faces multiple lawsuits and regulatory probes tied to xAI’s Grok chatbot and deepfake imagery creation. Legal advocates said these issues will likely escalate post-IPO and pose risks to shareholder value. High-profile departures at xAI raise questions about the company’s capacity to address safety concerns. Problems with safety directly impact shareholder returns and investor protection.

Final Thoughts

SpaceX debuts at $1.77 trillion with record $75 billion raised, but Morningstar values it at $63 per share, signaling significant downside risk. Investors are betting heavily on Musk’s execution across three disparate businesses while facing regulatory headwinds and xAI safety probes.

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The content shared by Meyka AI PTY LTD is solely for research and informational purposes.  Meyka is not a financial advisory service, and the information provided should not be considered investment or trading advice.