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Sky News request: Has SpaceX been overvalued?

Journalist: Jess Sharp, Sky News

ended 11. June 2026

Hello 

I hope you are well! 

SpaceX has filed for an IPO of its shares. Its flotation would give the company a market-value of $1.75 trillion. 

Only six companies in the S&P 500 are currently worth more, the largest being Nvidia at $5.2tn.

But its losing billions of dollars a year. The filing shows that the company lost $2.6bn from operations last year – and the losses kept piling up at the start of this year too.

So we want to hear what experts think. Has it been overvalued? 

Tell us your thoughts! 

Many thanks

Jess 

5 responses from the Newspage community

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Editor
Nouran Moustafa
Practice Principal & IFA at Roxton Wealth
SpaceX is not a normal company, so valuing it like a normal company misses the point. You are not just buying rockets; you are buying Starlink, defence relevance, launch dominance, future space infrastructure and a very big story about where the world may go next.

But that does not mean any valuation is justified. A $1.75tn price tag while the company is still losing billions requires investors to believe almost everything goes right: execution, regulation, margins, Starship, AI compute, government contracts and commercial demand.

This is where people confuse brilliance with price discipline. A company can be extraordinary and still be overvalued.

My concern is not that SpaceX lacks ambition. It clearly does not. My concern is whether retail investors understand they are buying a future that has already been priced as if it has partly happened.

The biggest risk is not space. It is paying earth-shattering money for tomorrow’s promise today.
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Graham Nicoll
Financial Planner, Chartered FCSI at NCL Wealth Partners
SpaceX is not a bad business, quite the opposite, but it looks expensive as an IPO as it feels like the price tag is built around the level of cash they need to raise (to pay down debt) and the stake they want to give away, as opposed to a realistic valuation.

The debate is really about how much value can be created by Starlink, AI infrastructure and other emerging businesses that are still largely unproven and are burning cash.

SpaceX is one of the worlds most impressive private companies, but there is no denying that this company is a loaded bet on AI and Elon Musk, and while some will have concerns, others will look at Musk's track record and feel the odds are in their favour.

The bigger question is the governance around the company as Musk will retain majority rights due to new shareholders getting one vote per share, whereas his share entitle him to multiple votes per share.
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Tony Redondo
Founder at Cosmos Currency Exchange
Ultimately, the value of anything is what someone is prepared to pay for it. The market is being asked to price SpaceX not on its current balance sheet, but as a sovereign-scale infrastructure play, combining global telecommunications, defence, launch monopolies, and space-bound AI compute. Evaluate it as a traditional business and it looks drastically overvalued; evaluate it as an unprecedented cross-industry monopoly and the premium becomes the price of admission. Interestingly, Wall Street is moving mountains to accommodate the listing. Nasdaq has altered its rules to allow SpaceX to join the Nasdaq 100 within just 15 days of listing, and S&P is considering similar fast-track arrangements. That structural engineering means passive index funds will be legally compelled to buy billions of dollars' worth of the stock almost immediately, creating a powerful floor beneath the valuation.
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Rob Mansfield
Independent Financial Advisor at Rootes Wealth Management
It certainly looks punchy. SpaceX holds all the keys as they know their financials, their potential, growth rates and have chosen the time to come to the market. They're controlling the narrative and investors have to judge how much confidence they can take from the projections, the governance of the company and decide whether the potential growth justifies the risk of buying in at such a steep price. Alternatively you could buy a diversified fund and avoid the risk of a single company disappointing. SpaceX is one for the speculative experts.
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Adam Pickett
Independent Financial Adviser at McLaren Capital
The issue of SpaceX's valuation isn't necessarily the biggest in this saga. Ordinarily, if it were overvalued, people wouldn't buy its shares, and it would fall to the 'correct' valuation. This issue here is that because so many index providers have bent over backwards to accommodate SpaceX, adjusting rules on the amount of shares that need to be listed and the amount of time they need to be listed on markets before being added to their indices. The upshot is that just 15 days after listing, the biggest tracker funds and pension funds will all be forced to start buying SpaceX shares, which will prop up its share price.

Of course, anything might happen after that, but if it is overvalued and the market brings the price down, it will be the unwitting who are hurt because a company has been shoehorned into their investments. Those who hold shares from IPO will be able to sell their assets at the overinflated IPO price, while those forced to buy after 15 days will be left holding the bag.