Alphabet’s Stake in SpaceX Rises to 555 Million Shares, Valued at About $68.6 Billion
Key Facts
Alphabet disclosed on November 6 that its stake in SpaceX had risen to about 555 million shares from 551.2 million in its previous disclosure, Reuters reported. The increase came as SpaceX’s share price fell, reducing the estimated value of Alphabet’s stake to $68.6 billion at the November 5 close, according to Benzinga. The estimate used a closing price of $123.62 per share that day. The number of shares owned therefore increased, while their market value fell compared with the end of June. The disclosure did not specify exactly when or how the shares were purchased, so the figures alone do not show how Alphabet made the increase.
The increase was about 3.8 million shares during the third quarter, according to Benzinga, accounting for the difference between the two disclosed balances. But the report said the disclosure did not show when Alphabet bought those shares or how it acquired them. During the same period, SpaceX’s share price fell from $170.86 on June 30 to $123.62 on November 5. Benzinga estimated that the decline erased about $25.6 billion from the market value of Alphabet’s stake. This highlights the effect of share-price movements on the investment’s valuation, even as new shares are added to the portfolio. Google, an Alphabet subsidiary, began its investment in SpaceX with $900 million in 2015, as part of a funding round that included Fidelity.
The investment stake intersects with a commercial relationship between the companies in computing and artificial intelligence. In June, Google agreed to pay SpaceX $920 million per month for access to about 110,000 Nvidia graphics processing units, according to Benzinga. Google described the capacity as temporary, to meet demand for its Gemini Enterprise platform. Meanwhile, unrealized investment losses affected Alphabet’s results; Chief Financial Officer Anat Ashkenazi said SpaceX losses were the main reason the company recorded $8.2 billion in negative other income in the third quarter. This places Alphabet’s stake in a dual context: an investment whose value changes with SpaceX’s share price, and a commercial agreement that provides computing capacity to Google.
SpaceX’s third-quarter results showed strong revenue growth and a shift to profitability. Revenue was $14.6 billion, up 161% year over year from $5.6 billion, while the company recorded net income of $4.4 billion after a net loss of $1.1 billion in the third quarter of 2025. Super Intelligence was the largest revenue segment in the quarter, with $7.56 billion, ahead of the communications segment, which recorded $5.248 billion. The company attributed the AI segment’s growth to infrastructure agreements, Cursor, and its models and software. But revenue does not mean profit; AP reported that Starlink remained SpaceX’s largest source of profit, despite AI segment revenue surpassing communications revenue.
After the results were announced on October 20, SpaceX shares rose 7.5% in after-hours trading, according to AP. In the November 6 session, SpaceX closed at $134.27 and Alphabet closed at $284.78, according to EL7 data. SpaceX’s price in that session differs from the $123.62 price used to estimate the stake’s value at the November 5 close. In upcoming operational developments, SpaceX was planning an attempt to catch both stages of its Starship rocket at a launch scheduled for the following month, as a step toward reusing the vehicle, according to AP. This development follows the third-quarter results, which highlighted the expansion of the company’s activities alongside its space communications business.