SpaceX (SPCX) Invests $10 Billion in Q1...Market Adopts 'Wait and See' Approach

▲ SpaceX (SpaceX, SPCX), rocket, satellite internet, artificial intelligence (AI)/AI-generated image

SpaceX (SpaceX, SPCX) is attracting investor interest with its three growth pillars: rockets, satellite internet, and artificial intelligence (AI). However, an analysis suggests that the stock price burden and the massive spending risk are too high to buy right now. With the stock price fluctuating sharply in the early stages of its listing, the advice is for new buyers to wait, and for existing holders to consider long-term retention rather than hasty selling.

According to Nasdaq on July 2 (local time), Chris Neiger of The Motley Fool evaluated SpaceX stock, stating, "It's better not to buy now." He acknowledged that SpaceX is an attractive company with advanced rocket technology, a rapidly growing satellite internet business, and an AI business. However, he pointed out that the stock's premium is excessively high and the scale of spending is too large, making it difficult to consider it a long-term investment target right now.

The biggest burden is capital expenditure (CAPEX). SpaceX's CAPEX for 2025 was $20.7 billion, and it is analyzed to significantly exceed that amount this year. The company has already invested $10 billion in CAPEX in the first quarter of 2026 alone. The article explained that SpaceX is expanding its AI data centers to power the Grok chatbot and lease data center capacity to external companies, with AI investment emerging as a major expenditure item.

The problem is that these expenditures are unlikely to translate into profits in the short term. The market's expectations for AI investment have recently become stricter, and questions have grown regarding whether massive costs can be converted into actual revenue. SpaceX was described as a situation where short-term profitability is not yet expected. Furthermore, its Price-to-Sales Ratio (PSR) stands at 111x, significantly exceeding the technology sector average of 9x. The article evaluated that the combination of an expensive stock price, massive expenditures, and a lack of profits reduces its long-term investment appeal.

However, advice was also given that investors who already hold SpaceX stock do not have a strong reason to sell urgently now. SpaceX's stock price started at $150 on its initial public offering (IPO) day, rose to $225 in the early stages, and had fallen to around $169 per share at the time of writing. Neiger explained that quickly buying and selling highly volatile stocks immediately after listing is closer to short-term trading than investing, and long-term investors should plan to hold for at least 5 years and monitor the company's execution of its long-term strategy.

The conclusion leans more towards a 'wait and see' approach than buying. If SpaceX can execute major goals such as building space data centers, existing shareholders have room to observe its performance over time. However, for investors who haven't pressed the buy button yet, it's better to first confirm how the company manages its expenditures and losses before approaching.

[Article Key Summary]

-Analysis suggests that while SpaceX possesses rocket, satellite internet, and AI businesses, the current stock price and expenditure burden are high, warranting caution for new purchases.

-Capital expenditure for 2025 was $20.7 billion, and $10 billion was invested in Q1 2026 alone. The Price-to-Sales Ratio is 111x, significantly exceeding the tech sector average of 9x.

-Existing holders can observe the execution of long-term strategies rather than hasty selling amidst short-term volatility, but new investors are advised to verify expenditure and loss management.

*Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*