Jim Cramer sees Space Exploration Technologies Corp. (NASDAQ:SPCX) developing into a broader technology and infrastructure company, with Starlink, AI computing, and Starship providing multiple potential growth engines. On September 28, during the episode of Mad Money, Cramer pointed to SpaceX’s GPU business and latest Starship flight as reasons the company could be worth substantially more over the long term.
Cramer has been getting bullish on SPCX. Read more on why SpaceX (SPCX) Is Cramer’s New Fantasy Flex Player.
Cramer Sees AI Computing Becoming a Major Business
Cramer’s most specific argument centered on Space Exploration Technologies Corp.’s decision to build a large GPU infrastructure business. He said:
The more substantive business decision to buy a huge number of GPUs from NVIDIA is already paying off as Elon Musk is renting them out to Google at an $11 billion a year run rate. And he has a similar deal with Anthropic at a $15 billion run rate starting in October.
Cramer said those arrangements amounted to approximately $2.17 billion a month in compute rentals. The company’s second-quarter results show why AI has become financially significant: AI revenue reached $2.56 billion, up 247% year over year, while the company reported $14.1 billion in contracted Cloud Services Agreements. Cramer also pointed to orbital data centers as a longer-term opportunity, as he said, “When Musk first started talking about putting a data center in space, I mean, it was a laugh line,” citing NVIDIA CEO Jensen Huang’s comments about the potential economics of moving computing infrastructure into orbit.
That concept is no longer purely theoretical, but it remains far from commercial scale. Google has already launched a Project Suncatcher prototype satellite to test AI hardware in orbit and has confirmed that it is operating as expected.
Starship Adds Another Growth Opportunity
Cramer also highlighted Space Exploration Technologies Corp.’s September 28 Starship flight, which reached orbit and deployed 26 Starlink V3 satellites. The flight also exposed an important execution risk. One of Starship’s six upper-stage Raptor engines, a Raptor Vacuum engine, shut down prematurely, forcing SpaceX to shorten the planned 10-hour mission to about three hours. The vehicle nevertheless deployed all 26 satellites, while the cause and broader implications of the engine problem remain under investigation.
Bear Case is Capital Intensity and Execution
Space Exploration Technologies Corp.’s biggest financial risk is the amount of capital required to build its AI infrastructure while continuing to fund Starlink and Starship. The company generated $7.81 billion of revenue in the second quarter but spent $18.37 billion on capital expenditures, meaning quarterly capital spending was more than twice reported revenue. AI alone accounted for $15.83 billion of that spending. The AI segment also remains loss-making despite its rapid revenue growth. Its $2.56 billion of second-quarter revenue came with a $1.26 billion operating loss, leaving the company dependent on continued growth and infrastructure utilization to turn the investment into sustainable earnings.
Starship adds another layer of uncertainty. The September flight achieved orbit, but the premature engine shutdown shows that the vehicle still needs to demonstrate consistent reliability before it can support the high launch cadence envisioned by SpaceX. Cramer separately warned that a large amount of restricted stock will become eligible to enter the market over the next year. Additional shares becoming available could increase the public supply and add another source of pressure on the stock.
Hedge Funds Show Significant Institutional Interest
Insider Monkey, which tracks more than 1,000 hedge funds, reported that 119 hedge fund portfolios held SpaceX at the end of the second quarter of 2026. There is no comparable Q1 figure because SpaceX only became a public company in June. Short interest is harder to express as one percentage because data providers use different public-float calculations, which is why the reported short-float range is approximately 1.24% to 7.22%. The core short position was the same in both datasets, so the difference comes from the float calculation rather than a difference in the number of shares sold short.
Because near-term positive earnings remain obscured by heavy capital expenditure burn, markets evaluate the company through a price-to-sales lens. Trading at a price-to-sales multiple of 85.5x, the stock’s valuation prices in aggressive top-line scaling and long-term monetization across its aerospace and computing divisions rather than immediate net income generation.
Cramer’s discussion was about what Space Exploration Technologies Corp.’s newer businesses could become rather than what the company earns today. The Q2 numbers show why the opportunity has attracted attention: revenue is growing quickly, AI contracts are already producing revenue, and the Connectivity business is already generating substantial operating income. At the same time, SpaceX is spending heavily to build the infrastructure behind that growth, while Starship and orbital computing still carry meaningful execution and commercialization risks. For a company valued at roughly $2 trillion, the gap between those future possibilities and the earnings being produced today remains substantial.
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