space x Shares rose 4% in pre-market trading Wednesday as Elon Musk’s company posted an impressive rally since Friday’s blockbuster IPO, with the stock up about 62%.
SpaceX’s consistent gains this week pushed the company’s market capitalization past Amazon and briefly surpassed Microsoft to become the fourth-largest company by value in the U.S. on Tuesday.
SpaceX’s market capitalization was $2.65 trillion as of Tuesday’s close.
Investors are pinning their hopes on founder and CEO Musk’s ability to generate long-term profits.
Musk posted on X on Sunday that the company “could reach” sales of about $1 trillion in 2030.
SpaceX posted a net loss of $4.9 billion in 2025, and a $4.28 billion loss in the first quarter of this year.
The high valuation for the company, which has dominated the satellite space through its Starlink service and reusable rockets, raises questions about its ambitious growth plans.
Peter Boockvar, chief investment officer at One Point BFG Wealth Partners, told CNBC’s “Squawk Box Asia” that investors are “trading the story, trading the action, trading the excitement, trading Elon Musk, but at some point you meet a path in that the fundamentals have to match that excitement.”
He added: “There’s certainly an upside if it can deliver, but the valuation is so large that the company will need to really push to grow to that valuation.” “I think it will take at least a few years.”
