SpaceX IPO makes Elon Musk the world's first trillionaire

SpaceX has experienced both successes and failures in its launches, but its recent IPO on Friday certainly falls into the success category, making CEO Elon Musk the world’s first trillionaire.

The company began trading on the Nasdaq, and SpaceX shares (officially abbreviated as SPCX) quickly soared from an initial price of $135 per share. At the time of writing, shares had reached an astonishing $170, marking the largest IPO in history.

This valuation places SpaceX, which recently merged with Musk’s xAI, at over $2 trillion. For perspective, this amount exceeds the combined valuations of Walmart and General Motors, although both Google and Nvidia have surpassed the $4 trillion threshold.

As long as SpaceX shares remain above $138, Musk holds the title of the world’s first trillionaire, with no other billionaire peers coming close.

While it is the largest IPO in monetary terms, it is not the largest in terms of the number of shares offered, which stands at 555.5 million. This relatively small number has driven up stock prices, as eager investors are willing to pay more for shares due to their confidence in Musk.

The share price is likely to fluctuate as the market evaluates SpaceX and considers whether its merger with xAI—which has resulted in $5 billion in losses so far this year—is ultimately beneficial. The IPO literature indicated that the combined company plans to generate revenue from AI data centers in space, although this concept remains unproven.

Musk, who has been outspoken during the so-called quiet period surrounding the IPO, needs the stock price to stay above $138 to maintain his status as a trillionaire.

He already holds significant control over SpaceX, with more than 80 percent of voting shares.