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SpaceX Shares Surge On Record-Breaking IPO Amid Valuation Debates

Record-Setting IPO Propels SpaceX Shares To New Heights

SpaceX shares rose in premarket trading on Monday following the company’s debut on the Nasdaq. After completing the largest initial public offering in history and reaching a market capitalization above $2 trillion, the stock traded about 6% higher, approaching $170.

Impressive Debut And Bold Ambitions

Shares climbed 19% on Friday to close at $161, after being priced at $135 each. Led by Elon Musk, SpaceX has expanded its reusable rocket business and the Starlink satellite internet service while also completing a merger with Musk’s artificial intelligence startup, xAI. The developments come despite a nearly $5 billion loss in 2025, prompting questions among analysts about whether the company’s valuation can be supported by future growth.

Governance, Growth, And Capital Challenges

Analysts have offered differing views on the stock. CFRA initiated coverage with a “sell” rating and a 12-month price target of $115, citing concerns over SpaceX’s valuation, growth plans and capital requirements. Capital expenditures reached $10.1 billion in the quarter ended March, up from $4.1 billion a year earlier. Morningstar analyst Nicolas Owens also described the shares as overvalued, placing fair value at $63 per share.

Long-Term Perspective And Competitive Edge

Not all analysts share that view. NewStreet Research assigned a price target of $165, with senior analyst James Ratzer arguing that investors should assess SpaceX over a 20- to 25-year horizon. Ratzer pointed to the company’s position in rocket launches and the development of Starship, which is expected to significantly increase payload capacity. He also highlighted SpaceX’s broader plans, including potential orbital data centers designed to support artificial intelligence applications.

The Road Ahead For SpaceX

Market participants continue to debate whether the company’s valuation reflects its long-term prospects. Paulina Roszkowska, finance lecturer at Bayes Business School, said SpaceX will need to translate its growth plans into sustainable cash flows to support its market value. The company’s performance in the coming years is likely to be closely watched as investors evaluate whether its expansion strategy can deliver the growth implied by its valuation.

A New Twitter-Inspired Social Network Is Taking Shape

A new social network called Twitter.now is entering the market, with a founding team that includes former Twitter trademark counsel Stephen Coates. The service is being developed by startup Operation Bluebird.

As Ars Technica reported, X sued the company last year and asked a Delaware judge to block the launch. Operation Bluebird argued in a petition that X had abandoned trademarks including “Twitter” and “Tweet.”

Coates has said the project is not an attempt to recreate the original Twitter. In a LinkedIn post, he described the platform as a new public space focused on trust, transparency and user choice.

AI System To Rate Posts

Twitter.now is currently being tested, with early access priced at $20. Its main feature is VERA, an AI system designed to evaluate posts, verify claims and provide sources and context.

Posts receive a trust score, with users eventually able to set a minimum score to filter their feeds. The company says this approach will give people more control over what they see instead of leaving those decisions entirely to an algorithm.

Moderation Remains A Challenge

Scaling moderation will be one of the platform’s biggest tests. Social networks have repeatedly struggled with content moderation as their communities grow, and newer platforms such as Bluesky have faced similar criticism.

Operation Bluebird says VERA will form the basis of its moderation and verification system. A second version is already planned, with expanded tools that would let users set a specific trust threshold for the posts appearing in their feeds.

For now, Twitter.now remains in an early testing phase, combining the familiarity of the Twitter name with an AI-driven approach to evaluating online information.

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