{"id":617439,"date":"2026-06-02T18:09:13","date_gmt":"2026-06-02T18:09:13","guid":{"rendered":"https:\/\/www.newsbeep.com\/uk\/617439\/"},"modified":"2026-06-02T18:09:13","modified_gmt":"2026-06-02T18:09:13","slug":"musks-1-75-trillion-moonshot-hits-gravity-as-analysts-slash-spacex-value","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/uk\/617439\/","title":{"rendered":"Musk\u2019s $1.75 trillion moonshot hits gravity as analysts slash SpaceX value"},"content":{"rendered":"

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Morningstar analysts have assigned a valuation of $780 billion to Elon Musk\u2019s SpaceX<\/a>, a figure less than half of what the company is reportedly aiming for in its upcoming initial public offering. <\/p>\n

This assessment comes ahead of a planned roadshow scheduled for this week.<\/p>\n

The research firm expressed significant uncertainty about the prospects of SpaceX’s artificial intelligence business, <\/a>which encompasses xAI and the social media platform X. <\/p>\n

\"TheThe research firm expressed significant uncertainty about the prospects of SpaceX’s artificial intelligence business, which encompasses xAI and the social media platform X (Reuters)<\/p>\n

Analysts cited unclear economic models and intense competition from established players such as OpenAI and Anthropic. <\/p>\n

“We don’t see Grok as one of the leading AI labs today,” stated Morningstar equity analyst Nicolas Owens, referring to the chatbot developed by xAI.<\/p>\n

Owens further cautioned that the future success of SpaceX’s AI segment hinges on unproven technologies, such as orbital data centers. <\/p>\n

\"SpaceX'sSpaceX’s new Starship V3 rocket is seen docked at the Starbase during the 12th test flight on May 21, 2026 as seen from South Padre Island in Texas (AFP\/Getty)<\/p>\n

He also highlighted that Starlink, the company’s satellite broadband division, faces technological obstacles, many of which may be beyond SpaceX’s direct control. <\/p>\n

“We think the company has been significantly overvalued and investors will have opportunities to buy the stock at more attractive levels after the IPO,” Owens added.<\/p>\n

This warning presents a rare contrarian perspective amidst widespread enthusiasm for the IPO. <\/p>\n

\"SpaceXSpaceX intends to launch its roadshow on June 4, with shares slated to debut on the Nasdaq on June 12 (Reuters)<\/p>\n

Reuters has reported that SpaceX intends to launch its roadshow on June 4, with shares slated to debut on the Nasdaq on June 12. <\/p>\n

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While Morningstar acknowledged the stock could see a near-term ascent due to a low float and the strong syndicate of major investment banks underwriting the IPO, including Goldman Sachs, Morgan Stanley, BofA Securities, Citigroup, and J.P. Morgan, their long-term outlook remains cautious.<\/p>\n

“Long-term investors eager to participate in SpaceX’s future endeavors and potential success will have opportunities to do so with a greater margin of safety than the initial offering is likely to provide,” Owens concluded. <\/p>\n

SpaceX is reportedly targeting a $1.75 trillion in the IPO.<\/p>\n

The company was last valued at $1.53 trillion on secondary \u200btrading platform Forge Global.<\/p>\n","protected":false},"excerpt":{"rendered":"Your support helps us to tell the story From reproductive rights to climate change to Big Tech, The…\n","protected":false},"author":2,"featured_media":617440,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[23],"tags":[90,416,56,54,55],"class_list":["post-617439","post","type-post","status-publish","format-standard","has-post-thumbnail","category-space","tag-science","tag-space","tag-uk","tag-united-kingdom","tag-unitedkingdom"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/posts\/617439","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/comments?post=617439"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/posts\/617439\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/media\/617440"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/media?parent=617439"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/categories?post=617439"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/tags?post=617439"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}