SpaceX up 9% in premarket after earnings beat and Musk hints at Tesla tie-up
SpaceX shares surged after strong earnings and Elon Musk confirmed both SpaceX and Tesla are considering a merger.
Reported by CNBC Technology · context written by Hushread
In brief
- SpaceX reported third-quarter revenue of $14.6 billion, up 161% from the previous year, beating analyst estimates.
- Net income for SpaceX reached $4.4 billion, reversing a net loss of $1.05 billion from the same period last year.
- Elon Musk said both SpaceX and Tesla have formed special committees to discuss a possible merger.
- SpaceX's growth was driven by its Starlink satellite internet service and rapid expansion in its Super Intelligence business.
- SpaceX forecasts first-quarter 2027 revenue between $33 billion and $37 billion, well above average analyst estimates.
Timeline · 3 moments
SpaceX and Tesla form committees to discuss possible merger
Axios ↗SpaceX reports $4.4 billion net income and strong revenue growth
Infobae ↗SpaceX shares surge after earnings and merger news
SiliconANGLE ↗What happened
SpaceX shares rose nearly 10% in premarket trading after the company reported a sharp increase in revenue and profits for the third quarter of 2026. During the earnings call, Elon Musk announced that both SpaceX and Tesla have formed special committees to explore a possible merger, which would be one of the largest in corporate history.
Why it matters
A merger between SpaceX and Tesla could reshape the technology, automotive, and space industries by combining their resources and expertise, especially in artificial intelligence and connectivity. Investors, employees, and customers of both companies could be significantly affected by changes in company direction, leadership, and business strategy.
How we got here
SpaceX went public in June 2026 with the largest IPO ever and has since reported rapid growth, especially in its satellite internet and artificial intelligence businesses. Both companies are led by Elon Musk, who has publicly supported the idea of merging them, and their boards have now taken formal steps to evaluate the possibility.
What happens next
Expect further updates as the special committees from both companies discuss the potential merger. Watch for official statements or decisions from the boards and shareholder reactions, as well as Tesla's upcoming earnings report.