Here’s what investors should know before SpaceX’s 2026 IPO
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Elon Musk might soon get richer.SpaceX, Musk’s private space giant, is actively preparing for what could be one of the biggest initial public offerings in history, and it might arrive as soon as mid-2026. SpaceX would target a $1.5 trillion valuation, which would allow the company to raise more than $30 billion, Bloomberg reported on Dec. 9.That would break the record set by Saudi Aramco in 2019, when the oil company raised $29 billion in its IPO.Musk has hinted at the possibility in a recent social media post.On Dec. 10, Musk reacted to an article by ArsTechnica Space Editor Eric Berger, who shared his article on X (formerly Twitter) and wrote: “Here's why I think SpaceX is going public soon.”Musk responded: “As usual, Eric is accurate.” He didn’t provide any further explanation. Starlink is now the largest source of revenue for SpaceX.Mazzanti/NurPhoto via Getty Images Why is SpaceX so expensive?SpaceX is a multi-business aerospace and telecommunications platform that spans launch services, global satellite internet, and government-focused secure communications. That breadth of the business model is key to its 2026 listing."Valuation increments are a function of progress with Starship and Starlink and securing global direct-to-cell spectrum that greatly increases our addressable market," Musk wrote in an X post earlier this month.Related: Apple analyst sets bold stock target for 2026SpaceX's Starlink now has roughly 7,000 satellites in low-Earth orbit. Musk has said Starlink is now the largest source of revenue for SpaceX, as the satellite internet service continues to scale. Starship, meanwhile, has faced multiple explosive setbacks during uncrewed test flights in 2025, but a successful program would form the backbone of the company’s long-term Mars plans, including the goal of establishing a permanent settlement.Unlike most other space companies, SpaceX has a positive cash flow, according to Musk’s X post earlier this month.“SpaceX has been cash flow positive for many years and does periodic stock buybacks twice a year to provide liquidity for employees and investors,” Musk wrote.Related: Cathie Wood sells $15.8 million of megacap tech stockCathie Wood, CEO of ARK Invest, projected that SpaceX could reach an enterprise value of approximately $2.5 trillion by 2030.Wood is known for making aggressive calls. She has predicted a price target for Tesla (TELA) in 2029 of $2,600 a share. The stock currently trades near $447.What a SpaceX IPO could change for the marketMore funding would push SpaceX closer to its biggest goals, including the ambitious plan to build a settlement on Mars.For Musk, the IPO would let him borrow more easily against his SpaceX stake, as he has done with Tesla. That gives him tax-free liquidity for his other projects, CNN reported. Meanwhile, a massive fundraising would also boost Musk's net worth as he holds almost half of SpaceX's shares.The IPO could also help the whole space sector by improving capital flows to space start-ups that aren’t yet profitable, says Mark Boggett, CEO of space technology investment firm Seraphim, as Barron's reported. “SpaceX has been at the forefront of the transformation of the Space sector that has now spawned a thriving ecosystem of many thousands of other space start-ups and scale-ups around the world,” Boggett said.Related: Longtime fund manager offers 2-word stock market prediction for 2026