SpaceX shares slide on the heels of first quarterly report
SpaceX shares dropped over 13% following its first quarterly earnings report as a public company, driven by investor concerns over massive capital expenditure on AI infrastructure. While the company is investing heavily in data centers, analysts are questioning the timeline for returns on these AI-focused investments.
Why it matters
This reflects broader market skepticism regarding the profitability of the current AI infrastructure boom and the financial sustainability of capital-intensive tech firms.
The stock was down more than 13 percent as investors were spooked by the company’s heavy investments.
x whatsapp-stroke copylink google Add Al Jazeera on Google info Investors across the technology sector are questioning if the large investments in AI infrastructure will actually yield returns, scrutiny that is now extending to SpaceX [File: John Raoux/AP Photo] By Mohamed Mansour and Reuters Published On 5 Aug 2026 5 Aug 2026 SpaceX share price has plunged more than 13 percent, a day after the Elon Musk-run company reported its first quarterly earnings as a publicly listed company.
On Wednesday, the stock closed down at $108.10, down 13.6 percent from Tuesday’s close of $125.33.
Investors have been spooked by the increase in the company’s capital expenditure. At $18.37bn, it was a six-fold jump from last year, and much higher than the $13.2bn that analysts had forecast.
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