SpaceX IPO yields modest gains, prompting investors to consider Vertex Pharma

Space Exploration Technologies (SpaceX) launched its initial public offering on June 12, raising about $75 billion (over $85 billion after the overallotment option). The IPO price was $135 per share; by early trading on July 2 the price had risen roughly 18% to $161.78. An investment of $10,000 at the IPO price would now be worth about $11,800, a modest increase given the company’s revenue of $18 billion last year and a net loss of $4.9 billion as it pursues ambitious goals in satellite internet, rockets and artificial intelligence.

Analysts note that while SpaceX commands attention, Vertex Pharmaceuticals has delivered stronger financial results and offers a more stable investment case. Vertex holds a near‑monopoly on cystic fibrosis therapies, with key patents lasting until 2039, and posted adjusted earnings of $4.7 billion last year, compared with SpaceX’s loss. The biotech firm’s pipeline includes treatments for IgA nephropathy, kidney disease and diabetes, providing additional growth avenues that many investors view as more profitable than SpaceX’s high‑risk expansion.