How to invest in SpaceX stock in 2025

SpaceX overview

SpaceX is an American aerospace company founded by Elon Musk in 2002 with a mission to transform space exploration and reduce space transportation costs. The company has become a pioneering force in commercial spaceflight and has achieved a number of milestones in space technology. 

It launched the first privately funded liquid-fueled rocket to reach orbit and was the first private company to launch, orbit, and recover a spacecraft. It was also the first private company to send humans into orbit.

A key differentiator for SpaceX is its focus on rocket reusability. Unlike traditional NASA rockets that are discarded after a single use, SpaceX has successfully landed and reused rocket boosters multiple times. The ability to refly the most expensive parts of the rocket, in turn, drives down the cost of space access.

As of October 2024, SpaceX had at least US$15.4b in contracts, of which US$3.6b were contracts with the Department of Defense and more than US$11.8b were with NASA.

SpaceX has recently been valued over US$350b

SpaceX is currently in discussions to execute a tender offer that could value the company at approximately US$350b – a valuation that would cement its status as the largest private firm in the world.

The tender offer allows employees and early investors to sell their insider shares, offering them liquidity while providing new investors an opportunity to buy into SpaceX. The company typically conducts these tender offers twice a year.

What does SpaceX make?

SpaceX has developed a diverse range of products and services to revolutionise space travel and exploration.

Falcon 9

Falcon 9 is a partially reusable rocket designed for a variety of missions, including commercial satellite launches and cargo resupply missions to the International Space Station (ISS). It can carry payloads of up to 22,800 kg to low Earth orbit (LEO) and has become the backbone of SpaceX’s launch services since its first flight in 2010.

Falcon Heavy

Falcon Heavy is the most powerful operational rocket in the world, capable of lifting 63,800 kg to LEO. This heavy-lift vehicle is used for missions requiring substantial payload capacity, including launching large satellites and interplanetary missions.

Dragon

The Dragon spacecraft is designed to transport cargo and crew to the ISS. The Crew Dragon variant successfully carried astronauts to the ISS as part of NASA's Commercial Crew Program, marking a significant milestone in private spaceflight.

Starship

Starship is SpaceX's next-generation fully reusable spacecraft, intended for deep space exploration and interplanetary travel. With a payload capacity exceeding 100 tons, Starship aims to support missions to Mars and beyond, as well as facilitate rapid transportation on Earth.

Starlink

Starlink is a satellite internet constellation providing high-speed internet access globally, particularly in underserved areas. Launched in 2019, it has grown rapidly, with millions of subscribers contributing significantly to SpaceX's revenue stream.

Starshield

Starshield is a military counterpart to Starlink, designed for government and defense applications. It focuses on secure communications and data transmission capabilities for military operations, leveraging the existing Starlink infrastructure while ensuring enhanced security features.

Rideshare missions

SpaceX offers rideshare services that allow multiple small satellites from various customers to share a single launch. This program has facilitated the deployment of over 1,000 satellites through dedicated missions like the Transporter series, making space access more affordable for smaller companies and organizations.

How to invest in SpaceX stock

Since SpaceX isn't publicly traded, investors can't purchase shares in the company. However, there are other methods available if you would like to have exposure to the company.

1. Become an accredited investor and buy shares directly
   SpaceX is a privately held company so only institutions or accredited investors can invest in the company. Retail investors can qualify as accredited investors if they earn an average of US$200,000 or more per year, have US$1m or greater net worth, or otherwise have certain finance certifications.
2. Invest in a close-ended fund like DestinyTech100 ($DXYZ)
   $DXYZ is an ETF that trades on the NYSE. SpaceX represents approximately 37.6% of the fund's portfolio, making it the largest single holding. The small fund began trading in March 2024, and also holds shares in OpenAI and Epic Games.
3. Invest in the ARK Venture Fund ($ARKVW)
   This fund is managed by ARK Investment Management. This provides a unique opportunity for retail investors to gain exposure to high-growth pre-IPO companies. It allocates 12.7% of its assets to SpaceX, alongside smaller stakes in X.AI (1.5%) and X Corp. (0.7%).
4. Buy shares in a publicly traded SpaceX competitor
   Popular space stocks like Rocket Lab ($RKLB), Intuitive Machines ($LUNR) and AST SpaceMobile ($ASTS) stand to benefit from the success of SpaceX and its advancements in the industry.

How to invest in companies similar to SpaceX?

You’ll need to follow these steps if you wish to invest in SpaceX-related companies:

1. Find a stock investing platform

To buy SpaceX-related stocks, you'll need to sign up to an investing platform with access to Wall Street. There are several share investing platforms available, of which Stake is one.

2. Fund your account

Open an account by completing an application with your personal and financial details. Fund your account with a bank transfer, PayTo, debit card or even Apple/Google Pay.

3. Search for the company or ticker symbol

Find the company name or ticker symbol. It is advised to conduct your own research to ensure you are purchasing the right investment product for your individual circumstances.

4. Set a market or limit order and buy the shares

Buy on any trading day using a market order, or a limit order to delay your purchase of the asset until it reaches your desired price. You may wish to look into dollar cost averaging to spread out your risk, which smooths out buying at consistent intervals.

5. Monitor your investment

Once you own the stock, you should monitor its performance. Check your portfolio regularly to ensure your investment is aligning with your financial goals.

What space stocks are popular on Stake?

As the commercial space sector continues to grow and innovate, investors are increasingly drawn to these stocks for their potential high-growth prospects. These are some of the most popular space stocks traded on Stake:

1. Rocket Lab USA ($RKLB)

• Market capitalisation: US$11.61b
• Stock price (as of 10/12/2024): US$23.24
• Stake investors watching $RKLB: 5,351

Rocket Lab USA, Inc. is an aerospace manufacturer and launch service provider, established in 2006 and headquartered in Long Beach, California. The company specialises in delivering reliable launch services primarily through its Electron rocket, which has become the second most frequently launched U.S. rocket since its inaugural flight in 2017. As of late 2024, Rocket Lab has completed over 53 launches, deploying more than 200 payloads for various clients, including commercial enterprises and government agencies.

2. AST SpaceMobile ($ASTS)

• Market capitalisation: US$7.53b
• Stock price (as of 10/12/2024): US$25.98
• Stake investors watching $ASTS: 1,537

AST SpaceMobile Inc. is a pioneering satellite communications company primarily focused on developing a global cellular broadband network that operates from space. Its BlueWalker 3 satellite was successfully launched on September 10, 2022, and is one of the largest commercial communications arrays in low Earth orbit

3. Intuitive Machines ($LUNR)

• Market capitalisation: US$1.95b
• Stock price (as of 10/12/2024): US$12.81
• Stake investors watching $LUNR: 804

Intuitive Machines, Inc. is an American space exploration company founded in 2013, and headquartered in Houston, Texas. The company specialises in providing lunar surface access and delivery services for both commercial and government clients. It developed the Nova-C lunar lander, which completed its first mission in February 2024, marking the first American spacecraft to land on the Moon since 1972.

Which ETFs have exposure to the space exploration industry?

1. Procure Space ETF ($UFO)

The Procure Space ETF focuses on investing in companies involved in space-related activities. This ETF aims to provide investors with exposure to the growing space industry, which includes satellite operations, space exploration, and other aerospace technologies.

2. SPDR S&P Kensho Final Frontiers ETF ($ROKT)

The SPDR S&P Kensho Final Frontiers ETF is an exchange-traded fund that focuses on companies involved in space and deep-sea exploration. The ETF comprises a total of 32 holdings, providing a diversified approach to investing in these sectors.

3. ARK Space Exploration & Innovation ETF ($ARKX)

The ARK Space Exploration & Innovation ETF is an actively managed exchange-traded fund that aims for long-term capital growth by investing primarily in companies involved in space exploration and innovation. It aims to invest at least 80% of its assets in equity securities of companies engaged in the space sector.

Is SpaceX publicly traded?

SpaceX is not publicly traded. It remains a privately held company, meaning its shares are not listed on any major public exchanges such as NASDAQ or the NYSE. Consequently, ordinary retail investors cannot directly purchase shares of SpaceX; only accredited and institutional investors have the opportunity to invest in the company before any potential initial public offering (IPO) occurs.

Can we expect a SpaceX IPO in 2025?

SpaceX's plans to go public via an initial public offering (IPO) remain uncertain, but there have been rumours of taking SpaceX’s highly profitable satellite business Starlink public via an IPO.

In 2020, SpaceX president Gwynne Shotwell told investors that Starlink was the ‘right kind of business’ for such a move, but CEO Elon Musk said the firm had ‘zero’ thought toward a Starlink IPO.

Musk has previously stated that it is in the company’s best interest to stay private to avoid a conflict of the company’s long-term goals with the short-term demands of public markets and shareholders.

Is space exploration a good industry to invest in?

Investing in space exploration can be a promising opportunity for those interested in large-scale technological advancements. Morgan Stanley estimates that the global space industry could exceed $1 trillion in revenue by 2040, up from approximately US$350b in 2020, implying a potential growth of 186% over two decades.

The cost of launching satellites has also decreased about tenfold over the last 20 years, making space more accessible for various applications. Areas like satellite manufacturing, space logistics, and resource extraction are particularly ripe for investment.

However, investing in the space sector comes with its own set of risks given the nature of the industry and the high costs associated with development and launches. Investors should consider diversifying their portfolios and staying informed about industry trends to navigate this dynamic environment effectively. 

SpaceX FAQs

The information contained above does not constitute financial product advice nor a recommendation to invest in any of the securities listed. Past performance is not a reliable indicator of future performance. When you invest, your capital is at risk. You should consider your own investment objectives, financial situation and particular needs. The value of your investments can go down as well as up and you may receive back less than your original investment. As always, do your own research and consider seeking appropriate financial advice before investing.

Any advice provided by Stake is of general nature only and does not take into account your specific circumstances. Trading and volume data from the Stake investing platform is for reference purposes only, the investment choices of others may not be appropriate for your needs and is not a reliable indicator of performance.

$3 brokerage fee only applies to trades up to $30k in value (USD for Wall St trades and AUD for ASX trades). Please refer to hellostake.com/pricing for other fees that are applicable.