Musk Touts Ambitious SpaceX Growth Projections Amid Investor Skepticism

SpaceX's first earnings report as a publicly listed company did not go as planned. The company posted better-than-expected revenue growth in the second quarter and narrowed its losses, but shares still slid more than 5% after the results were released.

Celebrated CEO Elon Musk touted his ambitious $1 trillion revenue target, which has moved forward a year since the IPO from 2031 to 2030. He emphasized that 'it's less than 10 years' before Starlink could deliver a majority of the world's internet in countries where they're allowed to operate.

However, investors remain concerned about capital expenditures, with capex spending of $18.4 billion in the second quarter nearly doubling analyst expectations. This issue has plagued other AI-tech megacaps like Alphabet and Tesla, but rewarded Microsoft and Amazon for accelerating revenue growth and posting strong backlog numbers.