Key Highlights

  • SPCX shares rose 7.93% pre-market to $159.51, up $11.72 from the prior close of $147.79.
  • Q3 revenue of $14.6 billion rose 161% year over year, versus about $12.9 billion expected.
  • Adjusted EPS of $0.35 compared with $0.11 expected, marking a first quarterly profit.
  • Q1 2027 revenue guidance is $33 billion to $37 billion.
  • Q4 capex is guided to $35 billion to $40 billion.

Blowout Q3 Sends SpaceX Sharply Higher

Space Exploration Technologies (NASDAQ:SPCX), known as SpaceX, shares rose 7.93% pre-market today to $159.51, a gain of $11.72 from the prior close of $147.79. Investors are reacting to a third-quarter report in which revenue grew 161% year over year to $14.6 billion and adjusted EBITDA rose 306% to $8.8 billion. Adjusted EPS of $0.35 beat the $0.11 estimate and marked the company's first quarterly profit.

The Starbase, Texas-based company designs, manufactures and launches reusable rockets and spacecraft, including Falcon 9, Falcon Heavy, Dragon and the developing Starship, and operates the Starlink satellite network. It went public in June 2026 and has about 22,000 employees.

Superintelligence Segment and Starlink Drive Growth

The superintelligence segment was the main growth driver, with revenue of $7.6 billion, up 830%, and adjusted EBITDA of $5 billion. Nameplate compute reached 1.7 GW at quarter end, with about 2.2 GW expected by the end of October and 2.5 to 3 GW by year end, plus a $63 billion backlog.

Starlink connectivity revenue was $5.2 billion, up 69%, with 13.6 million subscribers, including 1.6 million added in the quarter. Management guided first-quarter 2027 revenue to $33 billion to $37 billion, far above consensus.

Tesla Merger Committees, Capex and Cash Risks

Elon Musk confirmed that SpaceX and Tesla (NASDAQ:TSLA) have formed independent special committees to explore a merger, though he said a deal is not certain. The combination remains undecided pending committee work and shareholder votes.

Risks include fourth-quarter capex guidance of $35 billion to $40 billion against Q3 capex of $19.6 billion, a halving of cash and a possible capital raise. Citi raised its price target to $240. SpaceX reports a loss of $1.28 per share, a forward P/E of 74.09 and a 52-week range of $104.83 to $225.64.

Next Up: Merger Panels and Starship

Investors will watch the special committees' work, how the company funds its capex ramp, and the Starship schedule, which includes tower catches on Flight 15 and weekly flights in the first half of next year.