SpaceX is preparing for an initial public offering that could become the largest stock market debut in history, according to research firm Pitchbook. The IPO could boost SpaceX's valuation to $1.5 trillion, surpassing previous records. This move marks a significant milestone for the private space exploration company founded by Elon Musk.
SpaceX has merged with Elon Musk's artificial intelligence company xAI, forming a combined entity officially called x.AI Holdings that includes the AI agent Grok, according to research from two sources. The acquisition of xAI boosted SpaceX's valuation to $1.25 trillion, according to research from two sources. However, sources say Elon Musk's AI venture xAI is weighing down SpaceX ahead of the IPO, creating conflicting impacts on the company's valuation and readiness for public markets.
SpaceX plans to launch the IPO in June 2026, coinciding with Elon Musk's 55th birthday on June 28, according to major media reports from ten sources. Elon Musk said up to 30% of SpaceX shares could be reserved for private and retail investors, according to major media reports from ten sources. Only a small slice of shares, potentially less than 5%, is expected to be floated initially, according to major media reports from two sources. The IPO structure deviates from Wall Street's standard strategy, emphasizing Elon Musk's influence on ownership and trading, according to major media reports from two sources.
Lead banks managing the deal include Citigroup, Goldman Sachs, JPMorgan Chase, Morgan Stanley, and Bank of America, according to major media reports from three sources. Morgan Stanley is widely seen as a frontrunner due to its proximity to Elon Musk, according to major media reports from two sources. Bank of America has been selected to focus on retail investors in the U.S., according to several insiders. Bankers are exploring strategies to curb a post-IPO slump, such as allowing insiders to sell shares before the standard 180-day lock-up period in a controlled way, according to major media reports from two sources.
Up to 30% of SpaceX shares could be reserved for private/retail investors.
Shares of space companies like Firefly Aerospace, Rocket Lab, Intuitive Machines, and Planet Labs jumped on reports of SpaceX's potential IPO filing, according to major media reports from ten sources. Retail investors are increasingly backing the space economy, with Scottish Mortgage Investment Trust among the most-bought investment trusts, according to figures from Hargreaves Lansdown. SpaceX's IPO could revive wider IPO enthusiasm, with Anthropic and OpenAI also aiming to go public, according to major media reports from ten sources. Saudi Aramco went public in 2019 for $25.6 billion, according to investment bank Renaissance Capital, providing context for potential record-breaking valuations.
SpaceX was worth around $10 billion ten years ago, according to Charlie Bilello, CEO of Compound Capital Advisors. The company was valued at nearly double what it was in December, according to research firm Pitchbook. Elon Musk said Starlink has more than 2.5 million users globally, demonstrating the company's operational scale and growth trajectory.
The confidential filing allows the company to gather private feedback from regulators and temporarily insulates it from public scrutiny, according to research from two sources. Once the registration filing is made public, investors will be able to get a snapshot of the company's operations and finances, according to research from two sources. The confidential filing mechanism provides a strategic regulatory advantage, according to research from two sources.
Funding could help SpaceX further scale its space operations, build more data centers, and expand Starlink technology to new satellite constellations, according to Wedbush Securities analyst Dan Ives in a report last week. Elon Musk wants to put data centers into space, indicating potential uses for IPO proceeds beyond terrestrial operations.
Starlink has more than 2.5 million users globally.
Going public could position SpaceX to get more defense contract opportunities with the Trump administration, particularly for the 'Golden Dome' project, according to Ives. President Trump announced plans for the Golden Dome last year, a missile defense system to protect the country from aerial attacks, according to research from two sources.
Last month, SpaceX sent four NASA astronauts on an 8-month mission to the International Space Station, according to research from two sources. NASA has tapped SpaceX to develop a 'human landing system' to deliver a crew to the lunar surface as part of its Artemis program, according to research from two sources.
Tesla could prove to be a useful test case for SpaceX as it navigates the IPO process, according to research from two sources. Tesla has faced some headwinds in the last year due to Musk's involvement with the Trump administration's Department of Government Efficiency cost-cutting efforts, according to research from two sources. Tesla's annual revenue growth has flatlined in recent years, according to research from two sources. In 2025, Tesla brought in nearly $95 billion in revenue compared to around $97.7 billion in 2024, according to S&P Capital I.
Elon Musk is a pioneer of dual trillion-dollar enterprises, according to research from two sources, achieving this status through both Tesla and the potential SpaceX valuation.
The exact date of the IPO launch remains uncertain, with sources specifying June 2026 but not providing a precise day. The precise percentage of shares to be floated initially is also unclear, with estimates ranging from less than 5% to unspecified amounts. Whether the xAI merger is fully integrated and its net effect on SpaceX's financial health and IPO readiness remains unknown. The specific strategies banks will use to manage post-IPO share sales and lock-up periods have not been detailed. SpaceX did not disclose how much it is planning to raise, according to research from two sources, and sources report conflicting figures about potential fundraising amounts. SpaceX did not immediately respond to a request for comment, according to research from two sources.