{"id":891986,"date":"2026-10-23T13:22:10","date_gmt":"2026-10-23T13:22:10","guid":{"rendered":"https:\/\/www.newsbeep.com\/us\/891986\/"},"modified":"2026-10-23T13:22:10","modified_gmt":"2026-10-23T13:22:10","slug":"spacex-wont-follow-metas-playbook-to-fund-its-ai-build-out-jpmorgan-says","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/us\/891986\/","title":{"rendered":"SpaceX won’t follow Meta’s playbook to fund its AI build-out, JPMorgan says"},"content":{"rendered":"\n

Don’t expect SpaceX (SPCX<\/a>) to surprise investors<\/a> like Meta (META<\/a>) did this week by announcing it would issue a new class of nonvoting stock<\/a> to help fund its AI build-out. <\/p>\n

“Importantly, in our discussion w\/management, SPCX also said that it is not considering raising equity,” JPMorgan analyst Doug Anmuth wrote in a new post-earnings note on Friday. “Capital requirements are front and center across the market, and SPCX indicated it has a number of available pools of capital on the debt side.” <\/p>\n

SpaceX gave investors a taste of what could be to come on the debt funding front in its earnings report<\/a> this week. <\/p>\n

Execs guided to $35 billion to $40 billion in capital expenditures for the fourth quarter. This would be a meaningful step-up from $19.6 billion in the third quarter, $18.4 billion in the second quarter and $10.1 billion in the first quarter. <\/p>\n

SpaceX ended the quarter with $36.1 billion in debt. <\/p>\n

On the earnings call, the company’s veteran CFO, Bret Johnson, didn’t seem fazed by recent\u00a0tremors in the debt markets<\/a>\u00a0amid concerns over the financial health of neoclouds such as CoreWeave (CRWV<\/a>) and Nebius (NBIS<\/a>). <\/p>\n

All systems go on the pursuit<\/a> of capital, or so it appears. <\/p>\n

SpaceX is reportedly<\/a> eyeing a capital raise of $40 billion with financial powerhouses Goldman Sachs and Apollo. (Disclosure: Yahoo is a portfolio company of funds managed by affiliates of Apollo Global Management.) <\/p>\n

“The earnings call served to amplify the enormous calls on capital that loom over the next few years (particularly in the AI<\/a> segment),” Moffettnathanson analyst Julie Zhu said. “SpaceX has moved at a frenetic pace over the last few months, closing the Cursor acquisition; announcing a new Starbase in Louisiana; winning yet another large IaaS contract; launching Starship flight 14; and purchasing Grain’s 800 MHz spectrum. Each of these announcements portends an enormous amount of spending, both capex and opex, ahead.” <\/p>\n

144.75 -14.56 (-9.14%) <\/p>\n

At close: October 22 at 4:00:00 PM EDT <\/p>\n

147.25 +2.50 (+1.73%) <\/p>\n

Pre-Market: 9:21:29 AM EDT <\/p>\n

Follow Brian Sozzi on X @BrianSozzi<\/a>, Instagram<\/a>, and LinkedIn<\/a>. Tips on stories? Email him at brian.sozzi@yahoofinance.com. <\/p>\n