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Long termAVOID
SPCX
SPCX
Space Exploration Technologies

Latest update

$108

Updated: Jul 28, 2026, 2:01 PM UTC

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Metrics

Space Exploration Technologies Corp. (SPCX) - Q1 2026 Snapshot

SPCX operates across Space (reusable rockets, launch services, Starship development), Connectivity (Starlink broadband), and AI (Grok LLM, X platform). In Q1 2026, the company reported revenue of $4.7B, growing 15.4% QoQ. However, it incurred a net loss of -$4.3B and negative free cash flow of -$9.1B. Its market capitalization stands at $1419.5B. SPCX's balance sheet shows manageable debt, but debt service appears weak, indicating a struggle to cover interest and loan payments with current cash generation. Profit margins are negative, and the company is not paying dividends.

Growth pace
How fast the underlying business is moving, quarter by quarter. Hover any tile for the plain-English meaning.

Revenue

The total dollars the company billed customers. When this number grows quarter after quarter, the business is finding more demand.

quarterly

Latest

$4.7B

Q1 2026

The most recent reported figure, in the company's own currency and reporting cadence.

QoQ

+15.4%

vs Q1 2025

How much this quarter grew compared to last quarter. Useful for spotting acceleration or slowdown in real time.

YoY

How much this quarter grew compared to the same quarter one year ago. Strips out seasonality — a slow holiday quarter looks worse QoQ but normal YoY.

CAGR

insufficient history

The smooth yearly growth rate that gets you from the starting value to the current value. A 100% CAGR over 3 years means the business tripled, on average, each year.

Net income

What's left from revenue after paying every cost — employees, materials, taxes, interest. Sometimes called profit or 'the bottom line.'

quarterly

Latest

-$4.3B

Q1 2026

The most recent reported figure, in the company's own currency and reporting cadence.

QoQ

vs Q1 2025

How much this quarter grew compared to last quarter. Useful for spotting acceleration or slowdown in real time.

YoY

How much this quarter grew compared to the same quarter one year ago. Strips out seasonality — a slow holiday quarter looks worse QoQ but normal YoY.

CAGR

insufficient history

The smooth yearly growth rate that gets you from the starting value to the current value. A 100% CAGR over 3 years means the business tripled, on average, each year.

Free cash flow

The cash actually left in the bank after the company has paid for everything and reinvested in itself. Harder to fake than net income.

quarterly

Latest

-$9.1B

Q1 2026

The most recent reported figure, in the company's own currency and reporting cadence.

QoQ

vs Q1 2025

How much this quarter grew compared to last quarter. Useful for spotting acceleration or slowdown in real time.

YoY

How much this quarter grew compared to the same quarter one year ago. Strips out seasonality — a slow holiday quarter looks worse QoQ but normal YoY.

CAGR

insufficient history

The smooth yearly growth rate that gets you from the starting value to the current value. A 100% CAGR over 3 years means the business tripled, on average, each year.

Quarterly revenue, net income & free cash flow
Bars show what the company actually reported each quarter. The growth chart below turns these into the QoQ / YoY pace the rest of this page uses.
Annual growth rate (YoY)
Year-over-year change in full-year totals. Strips out quarterly noise and seasonality so the multi-year trend is visible — not just the last 12 months.
Compound annual growth (CAGR)
The smooth yearly growth rate across each window. The "start → end" line shows the dollar value at the beginning and end of the window.
Metric3 yr2 yr1 yr
Revenue
+15.4%
$4.1B$4.7B
Net income
Free cash flow
Valuation — P/E

P/E TTM

Trailing twelve months. Today's price divided by the last year of actual earnings.

P/E NTM

119.3×

Next twelve months. Today's price divided by what analysts expect the company to earn over the coming year.

Balance sheet & valuation
The five numbers that decide whether the growth above is safe, sustainable, and reasonably priced. Descriptions on every tile — hover or scroll to read.

Profitability

Mixed

Operating margin (and the wider return profile) tells you how efficiently each dollar of sales becomes profit. High and rising = pricing power; low or falling = the business is grinding.

Share count

Shrinking

Are the buybacks outrunning the stock-based comp? A shrinking share count means every existing share owns a bigger slice of future earnings.

Debt load

Manageable

Total debt against cash and earnings power (EBITDA). Light debt leaves room to invest and weather downturns; heavy debt shrinks the margin for error.

Debt service

Weak

Whether the cash the business generates easily covers its interest and loan payments. Strong here = no forced selling in a bad year.

Cash return at today's price

Free cash flow divided by market cap — the cash yield you're getting for the price you pay. Above ~6% is rich, below ~3% is thin. P/E shown when the yield is too small to be useful.

What stands out
  • Revenue growth is solid at 15.4% QoQ.
  • The company is significantly unprofitable with negative net income and free cash flow.
  • Valuation is highly speculative, with a forward P/E of 119.3x and no P/E TTM.
  • Debt load is manageable, but debt service capacity is weak.
  • Profitability is mixed, reflecting significant investments in ongoing operations and development.
  • Shareholder trend is friendly (implying no significant dilution or insider selling, though shares outstanding are high).

Thesis

Why this read

The stock has broken down significantly, trading far below its 21-day EMA. The negative daily and weekly price action, coupled with contracting volume and fundamental concerns around profitability and debt service, indicates a strong possibility of further declines. The upcoming earnings report adds substantial event risk. It's best to reduce exposure or avoid initiating a position until there's a clear stabilization and reversal in price action and momentum.

Short-term thesis

Aligned13% conviction-27 ptsv1
SPCX: Ambitious Growth, High Risk in a Downtrend

SPCX remains a long-term investment centered on its potential to dominate critical sectors like space launch, global satellite internet, and advanced AI. However, the current market data and technical setup signal significant near-term risk. While revenue growth is evident, deep unprofitability, negative free cash flow, and weak debt service capacity continue to challenge the investment case. The current price action indicates profit-taking and a clear distribution phase, prompting a defensive stance despite the attractive long-term secular opportunity. The thesis hinges on a future transition to profitability and cash generation through scaling Starlink, expanding launch services, and successful AI monetization, but this week's action prioritizes risk management.

Long-term exposure

Avoid

The business or valuation backdrop is not ready for long-term conviction.

Entry window

Trim / avoid

SPCX is experiencing significant price weakness, trading well below its recent averages with contracting volume. The stock is in a clear short-term downtrend and near its 52-week lows. Given the negative momentum, and approaching earnings, it is prudent to take a defensive position.

Risk check

Fragile

The downside can widen quickly if this setup goes wrong.

Alignment

Aligned

The weekly weakness matches a poor long-term backdrop.

What supports it

  • Share count has been shrinking instead of diluting holders.
  • Strong underlying secular demand for its core services (space, internet, AI).
  • Exposure to high-growth secular themes: space, global internet, advanced AI.
  • Demonstrated revenue growth (15.4% QoQ).

What limits it

  • This needs smaller size or more patience.
  • Debt service looks stretched for current cash generation.
  • Price already asks a lot from the business.
  • The stock is lagging the broad market by 33.9 points over the past month.

Long-term thesis

Global demand for high-speed connectivity, reliable and cost-effective space access, and advanced AI.

85opportunity50% thesis conf
Crossing Chasm5y horizon

Bottleneck Role

SPCX acts as a critical bottleneck in global, low-latency internet (Starlink for underserved areas), reusable and responsive space launch, and next-generation AI infrastructure (Grok & X platform).

Consensus Blind Spot

Underestimation of Starlink's profitability at scale; overestimation of the speed of execution and capital needs for SPCX's ambitious projects.

Demand Gap

Current gaps in global high-speed internet access, efficient and frequent space launch, and scalable advanced AI solutions provide significant market opportunity.

Demand to Equity Scenarios

Bear60% conf

Slower Starlink subscriber growth, increased competition in launch, AI monetization struggles.

Demand

Earnings

-30%

Equity implication

-40%

Weak utilization leading to missed revenue targets and continued deep losses.

Base75% conf

Steady Starlink expansion globally, consistent launch contracts for Falcon, gradual AI adoption.

Demand

Earnings

+10%

Equity implication

+15%

Continued revenue growth but persistent unprofitability as investments remain high.

Bull45% conf

Accelerated global Starlink adoption (especially enterprise/govt), dominant position in reusable launch, breakthrough AI product success.

Demand

Earnings

+40%

Equity implication

+50%

Rapid scaling leading to significant operating leverage, faster path to profitability and strong FCF generation.

Dependency Chain

  1. 1Accelerated global demand for connectivity, space access, and AI.
  2. 2SPCX's technology addresses these demands, creates bottlenecks.
  3. 3Increased utilization and market share in key segments.
  4. 4Improved pricing power and expanding margins.
  5. 5Positive earnings and free cash flow revisions.
  6. 6Equity repricing to reflect long-term market dominance.

Repricing Triggers

  • Positive quarterly free cash flow.
  • Significant acceleration in Starlink subscriber additions/revenue growth.
  • Successful deployment and scaling of Starship.
  • Clear pathway to profitability for AI segment (Grok/X).
  • Major government contracts for space or connectivity services.
  • Analyst upgrades and increased institutional ownership based on improved financial outlook.

Must be true

  • SPCX successfully executes on ambitious technological developments (e.g., Starship, Grok).
  • Starlink achieves profitability at scale and captures a significant portion of the global broadband market.
  • Competition in space launch and satellite internet remains manageable.
  • SPCX can attract and retain top talent for its high-tech ventures.

Thesis broken if

  • Decelerating revenue growth rates.
  • Worsening free cash flow trends or increasing debt burden without corresponding asset growth.
  • Significant market share loss to competitors in any core segment.
  • Major technological setbacks or regulatory hurdles that impede core projects.
  • Persistent inability to turn a profit despite scaling operations.

History

What changed

Since the previous run · 3 months ago
Prior call was neutral

Signal

BUYSELLFlipped

Conviction

60%40%-20 pts

Long term

AvoidAvoid

Stock

$203.84$107.75-47.1%

Added since last run

7
  • Strong underlying secular demand for its core services (space, internet, AI).
  • Significant price breakdown, trading far below short-term moving average.
  • -5.07% price drop today, and -12.79% over 5 days.
  • Volume contracting, indicating lack of buying interest.
  • Near-term earnings event in 8 days carries high risk, especially for an unprofitable company.
  • Negative momentum across all short-term periods.
  • Weak debt service capacity identified in fundamentals.

No longer flagged

0

Nothing dropped this run

Model's reflection on the prior call

The prior reasoning correctly identified the lack of strong momentum and caution due to debt service and profitability concerns, leading to a WAIT call. The outcome of minimal price movement aligned with the expectation of sideways action, validating the conservative stance.

Analysis timeline
3 runs

Jul 28, 2026

Latest

Updated Jul 28, 2026, 2:01 PM UTC

WeeklySELL
Long termAVOID
Confidence40% · Low

Price at review

$108

SPCX is experiencing significant price weakness, trading well below its recent averages with contracting volume. The stock is in a clear short-term downtrend and near its 52-week lows. Given the negative momentum, and approaching earnings, it is prudent to take a defensive position.

Jun 17, 2026

Updated Jun 17, 2026, 1:48 PM UTC

WeeklyWAIT
Long termAVOID
Confidence60% · Medium

Price at review

$204

SPCX's price has pulled back slightly from its recent high, landing around current levels after a period of consolidation. The overall trend remains positive, suggesting accumulation, but the lack of strong momentum this week and previous concerns about debt service and profitability caution against immediate action. We anticipate continued sideways movement or a slight retest of support before a more definitive move.

Jun 16, 2026

Updated Jun 16, 2026, 2:12 PM UTC

WeeklyWAIT
Long termAVOID
Confidence60% · Medium

Price at review

$214

The stock has seen a significant jump, pushing it closer to its 52-week high. While the overall trend appears positive, the rapid ascent suggests exercising patience for a more constructive entry point. Profitability concerns and stretched debt service remain a fundamental drag, making the current high price risky for immediate entry without a clearer pullback.