SpaceX at the mercy of speculation: between highs and lows, buying is back on the rise
Following the sharp falls that wiped 600 billion off its market capitalisation, the share price has rebounded
SpaceX shares have regained ground, closing higher after three consecutive sessions of losses that had wiped more than $600 billion off the market capitalisation of the group led by Elon Musk. The recovery, with the share price rising by more than 5 per cent, came on a black day for technology shares. And according to several analysts, this is a classic case of ‘bargain hunting’, with many investors convinced that the slump in the previous sessions had been excessive.
The point is that today, following the record-breaking $75 billion IPO and the initial enthusiasm of investors, the market is beginning to grapple with a more complex question: how much is the strategy through which SpaceX aims to become a key player in the race for artificial intelligence actually worth? This is all the more so because, as Musk himself admits, the concept of AI is central to the company’s future – a company that could initially have been defined simply as an aerospace firm.
Precisely because of its push into AI, the group is in fact preparing to launch its first investment-grade bond issue, with the aim of raising at least 20 billion dollars. The transaction represents a first for the bond market. This is because this sector is generally reserved for companies with established operations and predictable cash flows. SpaceX, on the other hand, continues to invest aggressively in growth and, according to S&P Global Ratings’ assessments, is expected to continue burning through cash at least until 2029.
Amidst all this, investor interest remains high. In recent days, the company has also announced a multi-billion deal to provide computing capacity to the start-up Reflection AI, confirming its intention to transform its technological infrastructure into a platform supporting the development of artificial intelligence.
The debate on Wall Street, however, centres primarily on the group’s valuation. Even after the recent correction, SpaceX’s market capitalisation remains close to 2,000 billion dollars, a figure that reflects very ambitious expectations for future growth.
