SpaceX Starts a Wall Street Bake-Off to Hire Banks for Possible IPO

SpaceX, the aerospace company founded by Elon Musk, is reportedly planning an initial public offering (IPO) that could value the company at $800 billion, with potential for a much higher valuation if successful. This move is seen as a significant step towards going public, which could occur as early as 2026.

SpaceX executives have initiated the process of engaging Wall Street banks to explore a potential initial public offering (IPO), as reported by the Wall Street Journal. This move signals the company's readiness to transition from private to public ownership, with plans for the IPO potentially set for 2026.

The last full trading week of 2025 commenced with Wall Street traders adopting a cautious stance as they awaited crucial economic data that could influence the Federal Reserve's interest rate decisions. Stocks, bonds, and the dollar exhibited volatility amid this uncertainty.

SpaceX has initiated a process to interview banks on Wall Street for potential advisory roles regarding its initial public offering (IPO), signaling a significant step towards becoming a publicly traded company. This move comes as the company prepares for an IPO that could occur in 2026, with expectations to raise significantly more than $30 billion.

Alphabet Inc. is expected to realize a significant paper gain following SpaceX's recent tender offer, which values the private aerospace company at approximately $800 billion. This valuation reflects SpaceX's robust market position and growth trajectory as it prepares for a potential initial public offering (IPO) in 2026.

Wall Street is increasingly concerned about a potential artificial intelligence (AI) bubble as doubts grow over the sustainability of the current investment climate, which has been buoyed since OpenAI's launch of ChatGPT three years ago. Despite ongoing financial inflows, the market is questioning whether the excitement surrounding AI can endure amid rising competition and risks.

SpaceX, founded by Elon Musk, is reportedly valued at $800 billion as it prepares for a potential initial public offering (IPO) in 2026. The company aims to sell insider shares at $421 each, which would position it as the most valuable private company globally. This announcement follows a letter to employees indicating the company's readiness for public trading, with plans to expand operations further.

As 2026 approaches, Wall Street is shifting its focus away from technology giants that have dominated the bull market, indicating a potential change in growth strategies. This transition suggests that investors may be looking for more traditional sectors to drive market performance in the coming year.