Is SpaceX Worth $1.77 Trillion? Investors Question the Valuation

SpaceX is facing investor scrutiny over a reported valuation of $1.77 trillion, a figure some market analysts describe as “pie in the sky,” according to a June 12, 2026, report by The New York Times. The valuation arises from secondary market tender offers but lacks the transparency and liquidity of a public stock offering.

The $1.77 trillion figure would place the private aerospace company among the most valuable entities globally, rivaling the market caps of the largest technology firms. However, the New York Times reports that a segment of investors believes this number reflects speculative optimism rather than fundamental financial performance.

Why is SpaceX’s valuation reaching $1.77 trillion?

The surge in valuation is driven primarily by the scaling of Starlink, the company’s satellite internet constellation. According to company data and industry analysts, Starlink has transitioned from a growth-phase project to a primary revenue driver, capturing a significant portion of the global broadband market.

Operational milestones with Starship have also contributed to the valuation. The New York Times notes that the vehicle’s ability to carry massive payloads at a fraction of previous costs has fundamentally altered the economics of orbital delivery. This capability secures SpaceX’s dominance in government contracts, including NASA’s Artemis program and various Department of Defense initiatives.

Investors backing the high valuation point to the company’s vertical integration. By manufacturing its own rockets and satellites, SpaceX maintains margins that traditional aerospace contractors cannot match, according to financial reports cited by The New York Times.

Why do some investors call the valuation “pie in the sky”?

Skeptics argue that secondary market valuations are often inflated because they involve a limited pool of buyers and sellers. These trades do not reflect the price a broader public market would pay in an Initial Public Offering (IPO), according to investors interviewed by The New York Times.

The capital expenditure required for the company’s long-term goals also creates risk. SpaceX continues to pour billions into the development of Mars-bound infrastructure. Some analysts argue that these costs outweigh the immediate cash flow from Starlink, making a trillion-dollar-plus valuation premature.

There is also the “key man risk” associated with CEO Elon Musk. Investors cited in the report express concern that the company’s valuation is inextricably linked to Musk’s personal brand and his management of other ventures, which can introduce volatility unrelated to SpaceX’s operational success.

How does this compare to previous valuations?

The $1.77 trillion figure represents a massive leap from the company’s valuation in the early 2020s. In 2023 and 2024, SpaceX was frequently valued between $180 billion and $210 billion based on internal share sales.

The contrast in framing is stark. While early valuations were based on the novelty of reusable rockets, the current valuation reflects a bet on SpaceX becoming a global telecommunications utility. The New York Times highlights that this shift in perception—from a launch provider to a data provider—is what allows the valuation to enter the trillions.

What happens next for SpaceX investors?

The tension over the valuation increases pressure on SpaceX to provide more transparent financial disclosures. While the company remains private, the scale of its operations now rivals that of major public corporations.

Market analysts suggest that a potential spin-off of Starlink into a separate public company could be the only way to truly verify the company’s worth. Such a move would allow the market to price the internet business and the rocket business independently, removing the speculative “premium” currently attached to the combined entity, according to the New York Times report.