SpaceX rises 6% as AI stocks recover after Musk-related selloff

Shares rebound with the broader AI trade

Yahoo Finance reports that SpaceX shares rose 6% on the day as AI stocks bounced back from a steep selloff that followed the midterm elections. The move came alongside gains in chip-related names, including Credo Technology, which rose 4%, and Astera Labs, which gained 3%.

The article says SpaceX fell 9% on Thursday, while Tesla dropped 11%. Over the two days after Tuesday’s Democratic sweep of Congress, the two Musk companies lost more than $420 billion in combined market value, according to the report.

Yahoo Finance says there was no company-specific catalyst

According to Yahoo Finance, SpaceX did not announce any news that would explain the increase. The stock moved with the wider AI group as investors bought back shares that had sold off on fears that Democrats would slow approvals for data centers.

The article says other stocks in the same trade also moved higher, with Nvidia up 6%, Applied Materials up 4%, and Lumentum up 3%. It adds that Lumentum was moving in line with Marvell, which is buying it in an all-stock deal.

AI is now the main driver of SpaceX revenue

Yahoo Finance says SpaceX trades like a chip stock because of the size of its AI business. The company’s AI segment, called Super Intelligence, brought in $7.6 billion of SpaceX’s $14.6 billion in third-quarter revenue.

The article also says analysts expect revenue to almost quadruple from 2026 to 2027 and then nearly double again in 2028. It says those expectations assume a data-center buildout that keeps running at full speed, and that the midterm results raised questions about that outlook.

Risks highlighted by the report remain in place

Yahoo Finance says the day’s rise did not fully erase Thursday’s decline, and that the underlying risks have not changed. It cites a Texas governor’s race result in which Democrat Gina Hinojosa won while promising a moratorium on data centers. The report says Wells Fargo estimates that 27% of planned U.S. data-center capacity is in Texas, where SpaceX has projects.

The article also says GLJ Research argued on Thursday that the Democratic wins make a SpaceX-Tesla merger less likely. It adds that the cost of insuring SpaceX debt against default reached a record during the selloff.

Financing and fourth-quarter questions

Yahoo Finance says management is guiding fourth-quarter capital spending to $35 billion to $40 billion, compared with $89.9 billion in cash and marketable securities at Sept. 30. The report also says SpaceX’s banks are marketing pieces of a roughly $40 billion chip-financing package to investors, according to Bloomberg.

The article says the price investors demand for that financing will show what the buildout really costs. It also flags fourth-quarter results as another item to watch.