SpaceX (NASDAQ:SPCX) Announces Quarterly Earnings Results

SpaceX (NASDAQ:SPCX) posted its quarterly earnings results on Tuesday. The company reported ($0.09) earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of ($0.26) by $0.17, FiscalAI reports. The company had revenue of $7.81 billion during the quarter. The firm’s revenue for the quarter was up 91.9% compared to the same quarter last year.

Here are the key takeaways from SpaceX’s conference call:

• Positive Sentiment: Q2 revenue rose 92% year over year to $7.8 billion, while adjusted EBITDA increased 191% to $3.5 billion and the net loss narrowed by nearly half to $541 million.
• Positive Sentiment: Starlink added a record 1.7 million consumer subscribers, maintained $66 monthly ARPU, and delivered strong enterprise and government growth, including more than $6 billion in U.S. government contracts and major airline wins.
• Positive Sentiment: The AI segment generated $2.6 billion in revenue and turned adjusted EBITDA positive at $1.1 billion, supported by cloud-services agreements; management expects an additional $6.7 billion of contracted revenue to begin ramping in October and projects $100 billion of ARR by December.
• Positive Sentiment: Management reported successful Starship flights, said the heat-shield challenge appears largely solved, and expects to attempt vehicle catching on the next flight, with a potential path to daily launches within about a year.
• Negative Sentiment: Capital intensity remains exceptionally high, with $18.4 billion of Q2 capital expenditures—$15.8 billion for AI infrastructure—and management expects each of the next two quarters to have a similar spending level while continuing substantial investment in Starship, satellites, and mobile infrastructure.

SpaceX Stock Performance

Shares of SpaceX stock traded down $11.00 during trading on Wednesday, hitting $114.33. 72,962,572 shares of the stock were exchanged, compared to its average volume of 102,145,648. SpaceX has a 1-year low of $104.83 and a 1-year high of $225.64.

Analysts Set New Price Targets

A number of equities research analysts have recently commented on the company. Mizuho assumed coverage on SpaceX in a research report on Tuesday, July 7th. They set an “outperform” rating and a $200.00 price target on the stock. Wolfe Research reissued an “outperform” rating on shares of SpaceX in a research report on Wednesday. Morgan Stanley reiterated an “overweight” rating on shares of SpaceX in a report on Friday, July 24th. Oppenheimer raised their target price on shares of SpaceX from $190.00 to $250.00 and gave the company an “outperform” rating in a research report on Thursday, June 18th. Finally, Daiwa Securities Group assumed coverage on shares of SpaceX in a research report on Thursday, July 2nd. They set a “neutral” rating and a $175.00 price target on the stock. Three equities research analysts have rated the stock with a Strong Buy rating, twenty-five have issued a Buy rating, nine have assigned a Hold rating and two have given a Sell rating to the company’s stock. According to MarketBeat.com, the stock has an average rating of “Moderate Buy” and a consensus price target of $229.39.

SpaceX News Roundup

Here are the key news stories impacting SpaceX this week:

• Positive Sentiment: SpaceX reported second-quarter revenue of $7.81 billion, up 91.9% year over year and above analysts’ expectations. Its $0.09-per-share loss was also narrower than the expected $0.26 loss. Starlink generated approximately $4.29 billion in revenue and remained the company’s main profit engine. Reuters earnings report
• Positive Sentiment: Management outlined ambitious growth targets, including a $100 billion annualized revenue run rate by December and potentially $1 trillion in annual revenue by 2030. Executives also cited new cloud-services contracts that could begin ramping in October. SpaceX revenue targets
• Positive Sentiment: Needham and Cantor Fitzgerald reaffirmed bullish ratings with price targets of $250 and $246, respectively. Royal Bank of Canada also reiterated its Outperform rating, supporting the long-term growth case. Analyst ratings
• Neutral Sentiment: SpaceX said it will use Nvidia hardware exclusively for its AI infrastructure. The decision could strengthen SpaceX’s computing capabilities, although it underscores the scale of its investment and benefits Nvidia more directly. Nvidia and SpaceX hardware deal
• Negative Sentiment: Capital expenditures surged to $18.4 billion in the quarter, including roughly $15.8 billion for AI infrastructure and cloud services. Investors are concerned that AI and space investments remain loss-making and could pressure free cash flow despite strong revenue growth. SpaceX AI spending
• Negative Sentiment: Approximately 911 million insider and pre-IPO shares become eligible for sale on August 6. The potential supply increase is a major near-term overhang, particularly with short interest reportedly near one-third of the public float. SpaceX lockup expiration

About SpaceX

SpaceX, or Space Exploration Technologies Corp., is an American aerospace company focused on the design, manufacture and launch of advanced rockets and spacecraft. The company develops launch vehicles and space systems used for commercial, government and scientific missions, with a strong emphasis on lowering the cost of access to space through reusable rocket technology.

Founded in 2002 by Elon Musk, SpaceX has built a broad portfolio of products and services that includes the Falcon 9 and Falcon Heavy rockets, the Dragon spacecraft and the Starship development program.