SpaceX Shares Slide on Heavy AI Spending Despite Strong Debut Earnings

SpaceX shares fell 10% in early trading Wednesday after the company reported nearly $16 billion in AI-related capital expenditures, more than double the previous quarter and above Wall Street expectations, with spending projected to remain at similar levels for at least two more quarters. The drop came despite a strong first earnings report on Tuesday, which showed quarterly revenue of $7.8 billion, up 92% year over year and above the $6.82 billion analysts expected.

The company also posted a net loss of about $541 million, significantly better than the estimated $2.12 billion loss. Investors were spooked by Elon Musk's plans to position SpaceX as a data center developer, driving the sell-off.

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