SpaceX rises 4% to leapfrog Amazon, briefly top Microsoft in market cap

SpaceX shares popped about 12% on Tuesday, as Elon Musk’s rocket builder continued its meteoric rise following a record-breaking IPO on Friday.

With the skyrocketing share worth, SpaceX briefly overtook Microsoft in market cap, changing into the fourth-largest firm by valuation in the U.S.

SpaceX’s market cap touched $2.94 trillion in mid-morning buying and selling, surpassing Microsoft’s valuation of $2.93 trillion, earlier than ending the day decrease at $2.65 trillion.

SpaceX additionally leapfrogged Amazon, which has a market cap of about $2.64 trillion. The inventory has the next bar to clear to cross Apple, the third-largest U.S. firm, with a market worth of practically $4.4 trillion.

The transfer comes after SpaceX shares jumped 20% in their first full day of buying and selling after a blockbuster debut. The historic IPO minted Musk because the world’s first trillionaire.

SpaceX’s inventory has surged roughly 62% from its preliminary public providing worth of $135 a share. That is greater than Amazon gained in the previous 5 years. The e-commerce large’s shares are up about 45% over that stretch.

Earlier on Tuesday, SpaceX introduced it will purchase in style synthetic intelligence coding startup Cursor for $60 billion. The deal, which is anticipated to shut in the third quarter of this yr, may assist give SpaceX an edge in opposition to main AI labs OpenAI and Anthropic, which additionally provide coding instruments.

Musk, who serves as CEO of SpaceX, posted on X on Sunday that the corporate “may have the option to attain roughly” $1 trillion income in 2030.

That may be an enormous bounce from the $18.7 billion in income it had in 2025. The corporate posted a $4.9 billion web loss in 2025, and it misplaced $4.28 billion in the primary quarter of this yr.

Based in 2002, SpaceX has turn out to be dominant in satellites by way of its Starlink service and reusable rockets.

In February, Musk merged the corporate along with his AI startup xAI, after combining the latter along with his social media platform X in 2025.

SpaceX’s debut has raised questions over its sky-high valuation, regardless of the massive positive aspects it is seen since itemizing.

CFRA on Friday initiated protection of the inventory with a promote score and a 12-month worth goal of $115, which is an almost 29% drop from Friday’s closing worth. CFRA stated its view was “due to the corporate’s extraordinarily formidable progress technique, elevated valuation expectations, and important capital depth.”

Talking to CNBC’s “Squawk Field Asia” on Monday, Steve Westly, founder and managing companion of The Westly Group and a former board member of Musk’s Tesla, stated that SpaceX will want to ship outcomes to bullish backers quick.

“Traders at SpaceX, I consider, will get fairly grumpy after three or 4 quarters if he does not meet a few of the progress projections that they made in the S1,” he stated, referring to the SEC submitting utilized by firms planning on going public.

Bullish market analysts level to a long-term time-frame for returns on the inventory.

“Whenever you take an additional step again, it is about this fourth industrial revolution, and buyers are centered on the place all the things’s heading, whether or not it is on ships, area, whether or not it comes to infrastructure, industrials,” Dan Ives, world head of tech analysis at Wedbush Securities, advised CNBC’s “Europe Early Version” on Tuesday.

Clarification: This story has been up to date to make clear that SpaceX briefly turned the fourth-largest firm by valuation in the U.S.