SpaceX $2.7T valuation briefly tops Amazon after IPO surge

SpaceX briefly passed Amazon to become the fifth-most valuable company in the world, its headline valuation reaching $2.7 trillion while intraday spikes pushed the market value as high as $2.9 trillion before shares pared back Tuesday. The moves followed the company’s IPO, the announced acquisition of Cursor and the start of options trading on the stock.

How did SpaceX’s valuation jump so fast?

SpaceX’s market value climbed rapidly after the IPO, driven by a 20% jump on Monday, the start of options trading, and the announcement it is acquiring Cursor for $60 billion in company shares, all of which sent the stock higher and produced intraday peaks up to $2.9 trillion before settling. The IPO itself debuted with a valuation of around $1.7 trillion and raised nearly $86 billion in fresh capital for the company.

The company made only about 4% of its total shares available for trading, a limited float that market analysts warned could amplify intraday moves. Traders exchanged more than 300 million SpaceX shares during the trading day, which is more than half of the 555 million shares that were available on the public market post-IPO, per data from the Nasdaq stock exchange. Volatility continued into after-hours trading, with the valuation briefly eclipsing Amazon’s market cap a second time before falling back.

How does SpaceX’s financial picture compare with Amazon’s?

SpaceX posted a $4.9 billion loss on $18.7 billion in revenue last year, while Amazon turned a $78 billion profit on $717 billion in sales in 2025, a stark contrast between the companies’ recent financial results. SpaceX has added new revenue streams, including compute leasing deals with Anthropic and Google, and will absorb Cursor’s revenue when that acquisition closes in the third quarter.

Those compute deals are currently non-binding, but investors pushed the price higher regardless. Elon Musk’s AI unit xAI is now part of SpaceX, and Musk has said xAI "was not built right [the] first time around" and that he was rebuilding it "from the foundations up." The Cursor acquisition will be paid with $60 billion in SpaceX shares.

Why it matters

Investors are pricing in an AI-driven upside that would vastly exceed SpaceX’s current revenue and losses, a bet that pushed the company to add roughly $1 trillion in market value since going public on Friday. The combination of a tiny public float, fresh capital from the IPO and headline-grabbing AI moves can produce headline valuations that diverge sharply from underlying cash flow and profitability.

This dynamic matters because it amplifies volatility and concentrates the short-term price impact of news items, including non-binding partnerships and acquisitions announced before their revenues or contracts are finalized. SpaceX raised nearly $86 billion in the IPO, a sum that underpins investor expectations even as the company reports a recent net loss.

What to watch

Watch whether the Cursor acquisition closes in the third quarter and how much revenue Cursor contributes once integrated, and whether the Anthropic and Google compute leasing deals move from non-binding to binding contracts. Also watch trading volumes and options activity, since the limited 4% public float and heavy early turnover (more than 300 million shares traded) will continue to shape intraday swings.