Spacex Nears 3 Trillion Valuation After Overtaking Amazon And Microsoft But Theres A Profit Catch

companies were again worth more than SpaceX.

Even after falling back, SpaceX remained among the world's most valuable companies, ahead of companies like Broadcom, Meta, Tesla, Micron Technology and Eli Lilly.

The biggest question for investors is that SpaceX has reached a huge valuation even though it is not yet making profits. SpaceX is still reporting losses while trading at valuations similar to the biggest tech giants.

SpaceX generated around $19 billion in sales over the last 12 months, according to AlphaSpace data cited by Yahoo Finance. This means the company is not just a concept or a startup with no revenue. It already has major businesses including rocket launches and the Starlink satellite internet network.

Microsoft generated more than $300 billion in revenue over the past year. Amazon generated more than $700 billion in revenue over the same period. SpaceX's revenue is only a small fraction of those numbers. The company also posted a net loss of about $8.7 billion, as noted by Yahoo Finance.

Investors are no longer valuing SpaceX only as a rocket company. They see it as a future infrastructure giant that could power communications, satellite services, defense systems, launches, data networks and global internet access through Starlink. Many investors believe these businesses could become extremely profitable in the future.

Many investors are comparing SpaceX to Tesla because both companies are linked to Elon Musk, as per Yahoo Finance. Tesla took about 21 months to grow from a $100 billion company to a $1 trillion company. SpaceX has reached an even larger valuation much more quickly after becoming publicly traded. This speed is what makes the current rally unusual.

Investors already believe in the future of the space industry and in SpaceX's long-term vision, says Yahoo Finance. The real challenge is whether the company's financial results can eventually match the huge valuation. Right now, SpaceX's market value reflects profits that investors expect years from now, not profits it is earning today. If future earnings grow as expected, investors could be proven right. If those profits do not arrive, SpaceX's valuation could come under pressure.

Therefore, SpaceX is close to becoming a $3 trillion company and briefly overtook Amazon and Microsoft in market value. However, unlike most trillion-dollar companies, SpaceX is still losing money.

Durva More is a Senior Content Producer at Hindustan Times, where she covers finance, and global news. She brings experience across digital and television journalism, with a strong focus on breaking news, business reporting, and international affairs. Before joining Hindustan Times, Durva worked as an International News Writer at The Economic Times, covering a diverse range of subjects including global politics, business, sports, entertainment, and major world events. She also worked as a Business Reporter with NDTV Profit. A postgraduate diploma holder in Journalism from the Asian College of Journalism, Durva is passionate about field reporting and storytelling. She thrives on the adrenaline of chasing stories, speaking with people from different walks of life, and amplifying voices that deserve to be heard. Her reporting is driven by curiosity, accuracy, and a commitment to making complex subjects accessible to readers. When she is not chasing stories or covering breaking news, Durva enjoys reading books and painting. She loves exploring new ideas, meeting people, and learning about different perspectives. For her, both journalism and art are ways to understand the world and tell stories that matter.Read More