Elon Musk’s SpaceX has overtaken Amazon to become the world’s fifth most valuable company, closing its third day of public trading at roughly $2.65 trillion. Shares settled at $201.8, marking a surge of more than 50% above the initial offering price.
The milestone follows the largest initial public offering in history. SpaceX raised approximately $85.7 billion after underwriters exercised the greenshoe option due to exceptional demand, eclipsing Saudi Aramco’s previous record. Intraday volatility briefly pushed the valuation above $3 trillion, momentarily surpassing Microsoft before paring gains.
Only Nvidia, Alphabet, Apple, and Microsoft now hold larger market capitalizations. This shift reinforces technology and AI dominance, with eight of the top ten global companies now tied to the sector.
Momentum accelerated Tuesday following an all-stock agreement to acquire Anysphere, developer of the AI coding assistant Cursor, for $60 billion. The deal deepens SpaceX’s enterprise AI strategy alongside its February merger with xAI, positioning the conglomerate against rivals like OpenAI and Anthropic.
Despite the rally, skeptics warn of overvaluation risks given the company's lack of profitability and limited public float. Only 3% to 4% of total equity is publicly traded, though anticipated fast-track index inclusion is expected to sustain demand from passive funds.