Elon Musk's SpaceX briefly surpassed Amazon in market value on Tuesday, reaching a valuation of approximately $2.6 trillion after a dramatic surge in its share price following its recent public debut.
The company's stock continued its strong momentum after gaining 20% on Monday, its first full day of trading. Investor enthusiasm intensified following news that SpaceX would acquire AI coding startup Cursor and the launch of options trading for the company's shares.
At one point during trading, SpaceX's valuation reportedly climbed to nearly $2.9 trillion, placing it among the world's most valuable companies before the stock retreated and closed lower.
Investor optimism fuels rally
The rally comes despite SpaceX reporting a loss of $4.9 billion on revenue of $18.7 billion last year.
In comparison, Amazon generated a profit of $78 billion on sales of $717 billion in 2025, highlighting the significant gap between the companies' financial performance.
However, investors appear focused on SpaceX's future growth prospects, particularly its artificial intelligence ambitions and newly announced revenue streams.
The company has recently secured compute-leasing agreements with AI firms including Anthropic and Google, while the acquisition of Cursor is expected to add further revenue once the deal closes later this year.
$1 trillion added in days
Since going public last week, SpaceX has added roughly $1 trillion to its valuation.
The company's initial public offering valued it at approximately $1.7 trillion and raised nearly $86 billion in fresh capital.
Only about 4% of SpaceX's total shares were made available for public trading, a factor analysts warned could lead to heightened volatility.
That prediction appeared accurate as more than 300 million SpaceX shares changed hands during Tuesday's trading session, representing over half of the publicly available shares.
AI ambitions at the center
Much of the excitement surrounding SpaceX's stock is tied to expectations that the company can build a multitrillion-dollar AI business.
Earlier this year, Musk revealed plans to restructure the company's AI operations and announced closer integration with his artificial intelligence venture, xAI.
SpaceX first disclosed its collaboration with Cursor in April, and the acquisition will reportedly be completed through a share-based transaction valued at around $60 billion.
Volatility continues
The stock's sharp movements continued after regular trading hours, with SpaceX once again briefly surpassing Amazon's market capitalization before pulling back.
Despite the volatility, the company remains one of the most closely watched stocks on Wall Street as investors weigh its ambitious AI strategy against its current financial losses.
