SpaceX, which listed on Nasdaq at $135 per share with a market capitalization of $1.77 trillion (approximately 2,700 trillion won), experienced a 7.2% surge on May 29 amid extreme post-IPO volatility, prompting LS Securities senior researcher Lee Jae-kwang to analyze the company's stock outlook and CEO Elon Musk's financial strategy on Herald Economy's YouTube channel '투자360'. Lee attributed the turbulence to a temporary seasoning period typical of initial public offerings, emphasizing that SpaceX — founded in 2002 with over 20 years of operational history — should be evaluated as a mature infrastructure company rather than a startup. The analysis focused on SpaceX's $20 billion corporate bond issuance as a calculated debt refinancing move to eliminate high-interest obligations inherited from the xAI (former Twitter) merger, and highlighted the company's June 22 StarMind space data center trademark filing as a strategic pivot toward orbital computing infrastructure.
SpaceX Issues $20B Bonds to Refinance xAI Merger Debt
Lee Jae-kwang clarified that SpaceX's $20 billion corporate bond issuance was not a sign of financial distress but a strategic refinancing operation. The company incurred approximately 10% high-interest debt through the merger with AI company xAI (formerly Twitter). Lee stated, "This is not borrowing due to lack of funds, but normal refinancing to eliminate high-interest risk, so it is not a negative signal."
SpaceX Secures $26B Annual Data Center Contracts with Anthropic and Google
Addressing valuation concerns — SpaceX's price-to-sales ratio (PSR) reached nearly 100x based on 2023 revenue of approximately $18.7 billion — Lee highlighted undisclosed revenue streams. SpaceX acquired the world's largest 1-gigawatt (GW) AI data center 'Colossus' through the xAI merger. In May, the company signed a $15 billion annual data center lease contract with Anthropic, followed by an $11 billion annual contract with Google (Gemini-based) in June. Lee emphasized, "The market must not overlook the fact that SpaceX secured a 1GW-class AI data center, the world's largest, through the merger."
SpaceX Files StarMind Trademark for Orbital Data Center on June 22
Lee identified 'Starship' and 'StarMind' as the two keywords determining SpaceX's post-IPO future. StarMind is a space data center trademark SpaceX filed on June 22. The concept involves mounting GPUs or TPUs on orbital satellites to perform computing operations, overcoming terrestrial space and power limitations. Space environments enable 24-hour solar power generation and natural radiation cooling, providing cost advantages. Lee explained that deploying a 1GW orbital data center would require 200 Starship v3 launches, but only 100 launches (approximately $2 billion cost) with the completed v4 version. He added, "While competitors cannot even catch up with Falcon 9, Starship's monopolistic moat will be difficult to break."
LS Securities Recommends Long-Term Investment Strategy for SpaceX Stocks
Lee advised against short-term speculative trading in SpaceX stocks. He stated, "Gambling-style investment aimed at short-term price differences should be avoided," recommending instead a 'companion stock' approach with long-term accumulation as the wisest strategy.
FAQ
Why did SpaceX issue $20 billion in corporate bonds after its IPO?
SpaceX issued $20 billion in corporate bonds to refinance high-interest debt (approximately 10% rate) inherited from the xAI merger. LS Securities researcher Lee Jae-kwang characterized this as normal refinancing to eliminate high-interest risk, not a sign of financial weakness.
What is SpaceX's StarMind project filed on June 22?
StarMind is a space data center trademark SpaceX filed on June 22. The system involves mounting GPUs or TPUs on orbital satellites to perform computing operations, leveraging 24-hour solar power and natural radiation cooling. Deploying a 1GW orbital data center would require 100 Starship v4 launches at approximately $2 billion cost.
