SpaceX began trading on the Nasdaq on June 12 at a staggering $1.77 trillion valuation, marking what is expected to be the largest IPO in history. The debut concludes a two-decade journey for Elon Musk's rocket startup, transforming it into one of the world's most valuable companies. The listing has triggered a rally in space-related stocks, with investors betting on the company's potential to reshape industries from internet connectivity to healthcare.

The valuation has divided Wall Street, with supporters arguing the market has yet to fully appreciate SpaceX's long-term potential. ARK Invest's Chief Futurist, Brett Winton, told Bloomberg that investors may be underestimating the revenue potential of Starlink and Starship. He projected the company could generate between $300 billion and $400 billion in annual revenue by 2030. This bullish outlook is echoed by New Street Research analyst Pierre Ferragu, who projected revenue of $195.3 billion by 2030 and assigned a valuation of roughly $2.3 trillion.

Investor Sentiment and Catalysts

Prominent investors have voiced strong support for the IPO. Reddit Inc. (NYSE: RDDT) co-founder Alexis Ohanian described SpaceX as a "Star Trek future," pointing to opportunities in space-based research and pharmaceutical breakthroughs that could only be done in Zero-G. Former MIT rocket scientist Alex Divinsky called the IPO "one of the biggest wealth opportunities" he has seen in more than a decade, comparing it to his early bet on NVIDIA Corp (NASDAQ: NVDA).

However, skepticism remains. Investor Steve Eisman described the $1.77 trillion valuation as "crazy," while some analysts question whether the company's current business can support such a lofty price tag. The central debate focuses on whether SpaceX should be valued for its current operations or for the future technologies it aims to create.

Sector-Wide Impact

The IPO has driven gains across publicly listed space stocks as traders seek exposure to the sector. Virgin Galactic Holdings, Inc. (NYSE: SPCE), AST SpaceMobile, Inc. (NASDAQ: ASTS), Rocket Lab Corporation (NASDAQ: RKLB), Planet Labs PBC (NYSE: PL), and Intuitive Machines, Inc. (NASDAQ: LUNR) all rallied in after-hours trading. The following table details their performance:

Specific catalysts also drove individual stocks. AST SpaceMobile confirmed its BlueBird satellite launch for June 17, while Rocket Lab benefited from its recent inclusion in the Nasdaq-100. Virgin Galactic disclosed it redeemed $30.5 million of its 9.80% First Lien Notes through a share issuance, strengthening its balance sheet.

Oppenheimer Holdings Inc. has initiated coverage on SpaceX with a price target of $190, representing a 41% upside to the IPO offer price of $135. The firm identifies SpaceX as the only vertically-integrated AI company with the necessary capital, data, LLMs, hardware, manufacturing, and engineering talent. The highly anticipated IPO is scheduled for Friday, June 12, 2026, with the company set to list on the Nasdaq under the ticker SPCX.

Analyst Projections and Valuation

Oppenheimer expects SpaceX to become the largest communications and AI company. The bank's outlook contrasts with New Street Research, which previously set a price target of $165 based on a sum-of-the-parts valuation of $2.3 trillion. New Street Research projects revenue of $195.3 billion in 2030, driven by AI, Connectivity, and Space segments. However, Oppenheimer warned of potential "extreme stock and operational volatility" and manufacturing challenges that could delay schedules.

Investor Sentiment and Retail Demand

Retail interest in the IPO has reached $70 billion, just $5 billion shy of the $75 billion target Elon Musk aims to raise. The Kobeissi Letter noted that retail demand is 2.4 times larger than the amount raised in the previous largest IPO, Saudi Aramco's 2019 listing. Despite this enthusiasm, NYU Stern Professor Aswath Damodaran stated he would avoid the IPO due to valuation concerns and the $28.5 trillion market opportunity cited in the prospectus.

Market Reactions and Governance Concerns

Investor Gary Black of The Future Fund LLC suggested Tesla Inc. shareholders might exit positions to invest in SpaceX, though he termed the company "richly valued." Separately, Sen. Elizabeth Warren (D-Mass) called for delaying the IPO, warning of misleading valuation accounting and improper governance structures. The table below summarizes key analyst targets and projections.