SpaceX jumps premarket after revenue surges 161% and Musk floats a Tesla merger
The company beat revenue estimates, and Musk said special committees are studying a combination with Tesla.
SpaceX shares rose about 9% to 10% in premarket trading Wednesday after the company reported third-quarter revenue of $14.6 billion, up 161% from a year earlier and above the $12.72 billion analysts expected. Net income was $4.4 billion, compared with a loss of about $1 billion a year earlier. The company said its AI business, which it now calls Super Intelligence, grew ninefold to $7.56 billion in revenue.
On the earnings call, Elon Musk said he sees merit in combining SpaceX with Tesla, and that special committees at both companies are studying a consolidation. No deal has been announced. Tesla shares were up about 2% to 3% in premarket trading ahead of its own results after the close Wednesday.
The results lifted other AI-linked stocks in early trading, including chipmakers and AI cloud companies, after a week of worry about the cost of AI spending. Netflix, which reported Tuesday after the close, fell about 6% premarket after lowering its advertising and free cash flow outlook. For how the market ended Tuesday, see our Dusk Ledger.
