SpaceX could become a much bigger company by 2030. The company, officially known as Space Exploration Technologies and commonly called SpaceX, went public in June this year. It is owned by billionaire Elon Musk and operates in three main businesses: space, artificial intelligence (AI) and internet connectivity. The company has been successful in these areas and is expanding its operations.
A $1,000 investment in SpaceX could potentially grow to $2,000 by 2030. The Motley Fool says the stock could double in value over the next few years. However, this depends on how well the company's businesses grow and whether it can turn that growth into higher profits.
SpaceX stock price prediction 2030
SpaceX has three main business divisions. These are its space business, its AI business and its connectivity business. Although SpaceX is best known for rockets and space launches, its space division is currently much smaller than its other businesses in terms of revenue. It is also growing more slowly.
The company is looking for growth beyond rocket launches. SpaceX wants to become a major player in the space economy, but it also sees big opportunities in AI and internet services. The company is focusing on these areas to expand its business.
Starlink growth by 2030
Starlink is SpaceX's main internet business. Its connectivity division operates Starlink, a satellite-based broadband internet service. It provides internet access in many parts of the world, including remote areas and places where regular internet services are limited. This makes Starlink useful for people who struggle to get reliable internet access.
{{/usCountry}}Starlink is SpaceX's main internet business. Its connectivity division operates Starlink, a satellite-based broadband internet service. It provides internet access in many parts of the world, including remote areas and places where regular internet services are limited. This makes Starlink useful for people who struggle to get reliable internet access.
{{/usCountry}}Starlink is currently SpaceX's only profitable division. Its user base has grown quickly as more people use its satellite internet service. The Motley Fool expects Starlink to continue growing rapidly between now and 2030. However, its growth could slow once it reaches most of the people who could become its customers. It is not yet clear whether this slowdown will happen by 2030.
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SpaceX AI business growth
Artificial intelligence could become SpaceX's biggest growth driver. The company's AI division, called SpaceXAI, was previously known as xAI. Musk had SpaceX acquire xAI a few months before SpaceX went public. The AI business develops Grok, a large language model that is commonly used for tasks requiring up-to-date information.
SpaceX's AI business is growing faster than its other divisions. SpaceXAI recorded growth of 213% in the second quarter. The Motley Fool expects AI to generate most of SpaceX's revenue growth over the next few years. However, the division is currently unprofitable.
SpaceX revenue forecast 2027
Wall Street analysts expect SpaceX's revenue to rise sharply in 2027. Analysts estimate that the company's revenue will grow by 155% to $115 billion in 2027. These estimates suggest that SpaceX could expand its business significantly over the next year.
SpaceX's stock valuation already reflects strong growth expectations. If the stock price stays at its current level while the company reaches the estimated 2027 revenue, the stock would trade at 18 times its sales. This means investors would be valuing the company at 18 times its annual revenue. For comparison, Nvidia also trades at 18 times sales, according to The Motley Fool.
The company's expected 2027 growth is already reflected in its share price. This means investors may need to look beyond its immediate growth to understand whether the stock can rise further by 2030. Its performance from 2028 to 2030 will depend on whether it can develop new businesses and increase profits.
SpaceX stock risks and $1,000 investment
SpaceX's plan to launch data centres into space could influence its stock price. The company is exploring the idea of building a large network of satellites that can function as data centres in space. For this plan to support further stock gains, SpaceX would need to launch these satellites in commercially meaningful numbers and show that the business could become profitable.
A successful space-based data centre business could push SpaceX's stock much higher. If Musk's plan becomes commercially viable, the company could unlock a new source of growth. This could help the stock rise significantly from its current level. However, the outcome depends on whether the plan can work as a profitable business, according to The Motley Fool.
SpaceX also faces risks that could hurt its stock price. Its AI business could lose ground to competing AI companies, Starlink's customer growth could slow, and its space division might fail to achieve significant growth in launches. If several of these problems occur together, SpaceX's share price could fall instead of rising.
SpaceX shares could double in value by 2030 if at least one of its three businesses — space, artificial intelligence (AI) or satellite internet — grows strongly. In this case, a $1,000 investment could grow to $2,000 by 2030. However, this is not guaranteed, as slower business growth, stronger AI competition or a slowdown in Starlink's expansion could cause the stock price to fall.