SpaceX Could Surpass Amazon, Microsoft with $3 Trillion Valuation: Analyst

A Wall Street analyst predicts that SpaceX will surpass both Amazon and Microsoft in market capitalization, reaching $3 trillion. This early high-water price target represents a 41% increase from its June 12 close.

Rating Change

According to a research note released today, the analyst raised the price target for SpaceX from $2.1 trillion to $3 trillion, with a buy rating.

Analyst's Rationale

The analyst sees SpaceX as more than just a space company—it has become an AI and space infrastructure conglomerate. The Starlink satellite internet project and reusable rocket launch model give it a massive competitive advantage. Additionally, its investments in AI, such as developing custom processors for space, boost its growth prospects.

Context

SpaceX currently trades in the secondary market at a valuation of approximately $2.13 trillion. For comparison, Amazon's market cap is around $1.9 trillion, and Microsoft's is about $2.8 trillion. No comment has been issued yet from SpaceX or other analysts.

What to Make of This

The new price target reflects high confidence in SpaceX's growth potential, but remains an early estimate. Investors are advised to monitor the company's performance in AI and space, while considering regulatory and competitive risks.