Kevin O’Leary Says SpaceX Valuation Reflects Future Growth Potential

Canadian entrepreneur and investor Kevin O’Leary has defended SpaceX’s massive valuation following the company’s historic Nasdaq debut, arguing that investors are paying for its future potential rather than its current earnings.

In a post shared on X, O’Leary explained that SpaceX’s premium valuation is largely driven by expectations surrounding the company’s long-term growth. While he acknowledged that Starlink currently generates a significant portion of SpaceX’s revenue and cash flow, he emphasized that investors are placing their confidence in Elon Musk’s proven ability to create and scale transformative industries.

According to O’Leary, the market continues to reward SpaceX with a high valuation because many investors believe the company is positioned to become one of the most influential technology platforms of the next decade. He noted that the company’s valuation will remain a topic of debate, but the overwhelming demand for its public offering highlights strong confidence in its vision, innovation, and execution capabilities.

SpaceX recently completed the largest initial public offering (IPO) in history, pricing shares at $135 each and raising approximately $75 billion. The IPO valued the aerospace company at nearly $1.77 trillion and further boosted Elon Musk’s wealth, making him the world’s first trillionaire.

The milestone also sparked criticism from some political figures. Senator Bernie Sanders expressed concerns about growing wealth inequality, pointing to Musk’s estimated $290 million in political spending during the 2024 election cycle and the substantial increase in his net worth since the election. Sanders argued that such extreme concentrations of wealth raise broader economic and political concerns.

Bitcoin advocate Robert Breedlove pushed back against those criticisms, claiming that Bitcoin offers an alternative to centralized financial influence and wealth redistribution policies.

Meanwhile, interest in SpaceX extended into the digital asset sector. Tokenized SpaceX stocks became the most actively traded stock-backed assets on the Solana blockchain following the IPO. Backpack Securities’ SPCX token led trading volume with $37.8 million over 24 hours, while xStocks’ SPCXx and Pre-Stocks’ SPACEX also recorded millions in trading activity.

Institutional interest remains strong as well. BlackRock reportedly became one of SpaceX’s largest institutional investors after the IPO, accumulating roughly $882 million worth of shares across several exchange-traded funds (ETFs), according to Bloomberg data cited by ETF analyst Eric Balchunas.

With strong investor demand, growing institutional backing, and expanding interest in tokenized equities, SpaceX continues to strengthen its position as one of the most closely watched companies in the global market.