filed its securities registration with the SEC and is now set to conduct its IPO on or around June 12th. Below is a summary of key information from the SEC filing.
IPO Offering: SpaceX is targeting a valuation ranging between $1.75 trillion and $2 trillion. For context, Broadcom is the 6th-largest company in the S&P 500, with a market cap slightly below $2 trillion. Bear in mind that the company is only floating about 5% of its stock, so the capital raise is much smaller than the valuation. Some potential caution with the small float is that after the lockup period for its current investors, a larger-than-normal percentage of shares may be sold to realize gains.
SpaceX Business Lines: SpaceX has three primary business lines: Starlink, Space (launch services), and xAI and X (artificial intelligence/Twitter). Starlink is the financial engine accounting for over two-thirds of revenue and a $1.2 billion profit in the most recent quarter. Additionally, Starlink has margins of over 50%. Space and xAI are generating sizeable revenue but running at a loss.
Financials: The full-year revenue for 2025 was $18.7 billion, up 33% from the prior year. However, the net loss for 2025 was nearly $5 billion. Starlink subscriber growth has surged from 2.3 million in 2023 to over 9 million by the end of last year. The AI venture is what some deem its “cash furnace.” The segment lost $2.5 billion in the first quarter of 2026 after losing $6.4 billion last year. The Space segment had $4.1 billion in revenue but continues to lose money.
Valuations: The valuations imply tremendous optimism, with price-to-sales (revenue) approaching 100, well above even some of the most expensive companies in the S&P 500.
The pictures below are two of many from SpaceX’s S1 filing.
: The Market Was ‘Priced In’ For Good News
Nvidia handily beat expectations on earnings and revenue. Moreover, they gave strong earnings guidance ($89–92B), announced an $80B buyback, and increased the dividend from $0.01 to $0.25. Adding to the good news, CEO Jensen Huang stated:
Demand has gone parabolic. The reason is simple: Agentic AI has arrived.
Despite the seemingly great earnings report, the stock was flat in overnight trading. While all earnings metrics beat formal analyst expectations, it didn’t beat the unsaid investor expectations. Its 18% year-to-date rally and 70% over the last year were the result of the market pricing in what Nvidia delivered. The “problem” was not the earnings or guidance, but the stock was already “priced in” for the news.
One important takeaway about Nvidia’s future is that Jensen Huang projected:
Vera Rubin is going to be even more successful than Grace Blackwell at this point,” and “every single frontier model company will jump on Vera Rubin from the get-go,” adding that the platform is already off to a “tremendous start.”
Vera Rubin is the successor chip to its overwhelmingly popular Blackwell chip. Its CFO confirmed Huang’s sentiment, stating that most of its customers will adopt its new Vera Rubin chip immediately.
: Consumer Health Update
Walmart’s earnings were generally good, with revenue beating estimates and EPS matching expectations. However, they did reduce earnings guidance in part because of higher energy prices. Its CFO explained that the impact of higher oil prices may become more prominent this quarter, as larger-than-normal tax refunds offset some of the pressure in the first quarter. The overarching picture Walmart painted is of a consumer who is still spending but increasingly cautious, with the lower-income earners showing more stress. We share some comments from their executives.
On CNBC regarding consumer financial health, its CFO, John David Rainey, said, “They’re discerning. They’re mindful. They’re maybe a little concerned about possible looming price increases, but their behaviors largely have not changed. They’re still looking for value.”
CEO Doug McMillon told investors, “If you look at the middle to upper income levels, we’re seeing strong demand, and if you look at middle to lower, there has been a little bit of stress.”
Regarding prices and margins, McMillon stated that “we will do our best to keep our prices as low as possible, but given the magnitude of the tariffs, even at the reduced levels announced this week, we aren’t able to absorb all the pressure given the reality of narrow retail margins.” Rainey agreed, saying the tariff pressure is “more than any retailer can absorb” and “more than any supplier can absorb.”
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