SpaceX leapfrogs Amazon in market cap, briefly tops Microsoft

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, turning into the fourth-largest firm by valuation within 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 settling decrease.

SpaceX additionally leapfrogged Amazon, which has a market cap of about $2.66 trillion. The inventory has a better 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% of their first full day of buying and selling after a blockbuster debut.

SpaceX’s inventory has surged roughly 62% from its preliminary public providing worth of $135 a share. That is greater than Amazon gained prior to now 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 predicted to shut within the third quarter of this 12 months, might assist give SpaceX an edge towards main AI labs OpenAI and Anthropic, which additionally supply coding instruments.

Musk, who serves as CEO of SpaceX, posted on X on Sunday that the corporate “may be capable 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 internet loss in 2025, and it misplaced $4.28 billion within the first quarter of this 12 months.

Based in 2002, SpaceX has turn into dominant in satellites via 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 large beneficial properties it is seen since itemizing.

CFRA on Friday initiated protection of the inventory with a promote ranking and a 12-month worth goal of $115, which is a virtually 29% drop from Friday’s closing worth. CFRA mentioned its view was “because of the firm’s extraordinarily bold 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, mentioned that SpaceX might want to ship outcomes to bullish backers quick.

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

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

“Once you take an extra step again, it is about this fourth industrial revolution, and traders are targeted on the place every little thing’s heading, whether or not it is on ships, area, whether or not it involves 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 within the U.S.