Starlink IPO: All You Need to Know About Starlink Stock

It is always best to speak to your financial adviser prior to making any investment decision. Starlink stock market index trading strategies is a satellite internet constellation operated by SpaceX, providing satellite Internet access coverage to over 56 countries. As of May 2023, Starlink consists of over 4,000 mass-produced small satellites in low Earth orbit (LEO), which communicate with designated ground transceivers. Starlink has won nearly $900 million in FCC subsidies to support rural broadband customers through the company’s Starlink satellite internet network.

In 2019, the first Starlink satellite fleet was launched into orbit. Currently, the company has an estimated 100,000 users spread out over 14 countries. But CEO Elon Musk first announced plans for one in February 2020. But this could take several years, depending on the health of the space sector and the overall market. There was a 15 hour blackout following an attack on Ukraine’s national internet provider, Ukrtelecom in late March. Mykhailo Fedorov, Ukraine’s vice prime minister, tweeted a plea to Elon Musk, following an initial Russian cyber-attack.

Going to Mars will not be a business venture, at least not at first. It’s a humanitarian mission to hedge against Earth’s inevitable demise. In an interview on TikTok, renowned private investor Chamath Palihapitiya predicted 2023 would be the year Elon Musk spins Starlink out of SpaceX. interactive brokers forex review The first step you’ll have to take is to select a licensed broker.

SpaceX launches 28 Starlink Internet satellites from Florida

  • You cannot buy SpaceX stock or Starlink stock in the public markets today — SpaceX is a private company, and Starlink is a business run by SpaceX.
  • Starlink is one of a handful of space economy IPOs that may happen in the next five years.
  • However, many parts of the country and of the world remain unconnected or under-connected.
  • In December 2024, SpaceX closed a secondary share sale which valued the company at $350 billion.

Other metrics such as free cash flow require estimates from analysts, which may be incorrect. Starlink will provide a wi-fi router internet access from virtually anywhere on the planet when fully operational. Elon Musk’s Starlink project plans to put thousands of tiny spacecraft into low Earth orbit. They’ll be able to send fast internet signals down to Earth. Craig Stephens is a former IT professional who left his 19-year consulting career at the IRS to be a full-time finance writer. He started Access IPOs in 2016 to provide a resource for ordinary investors pursuing investment access to IPOs and pre-IPO startups.

  • In the event of a Starlink spinoff, current SpaceX owners would receive shares of a separate Starlink and a pool of shares would likely be sold to the public to raise funds.
  • It invested a second time in December 2021, at a valuation of $100 billion.
  • Elon Musk’s Starlink project plans to put thousands of tiny spacecraft into low Earth orbit.
  • Starlink’s growth potential has many investors already eagerly anticipating its IPO, which could come in the next few years.
  • Starlink has won nearly $900 million in FCC subsidies to support rural broadband customers through the company’s Starlink satellite internet network.

Unlike funds limited to accredited investors, XOVR is open to all, making it a convenient option for retail investors. As of now, Starlink does not have its own publicly traded stock. It is a division of SpaceX, which remains a privately held company. This means that Starlink stock is not available on public stock exchanges, and investors cannot directly purchase shares of Starlink. Starlink is a business subsidiary of the private company SpaceX.

How to Invest in Starlink Stock as a Retail Investor

Its satellites enable companies to deliver digital communications, mobile communications, broadband internet connectivity, streaming entertainment, and direct-to-home entertainment worldwide. On Public, you can invest in stocks, ETFs, Treasuries, and cryptocurrencies, all on one of the most well-designed investing platforms. The ARK Venture Fund is the best way for retail investors to gain exposure to Starlink/SpaceX, but there are two other ways you can gain indirect exposure to the company. The fund is available to both retail and accredited investors however, due to certain regulations, retail investors have to invest in the fund via SoFi.

How Does Starlink Make Money?

Investors who want to buy one of these Starlink alternatives can purchase shares in any brokerage account. Here’s a step-by-step guide on how to invest in stocks like Starlink. Boeing produces many space products, including satellites, building them for government and commercial operators.

B. Weaknesses & Risks

However, it’s worth noting that much of the value may already be captured by private investors before the IPO. Starlink’s rapid growth has been fueled by $7.5 billion in consumer internet services and $3 billion in military contracts. Its technology has not only redefined global connectivity but also secured dominance in the U.S. government’s LEO satellite program. The program’s funding ceiling recently increased from $900 million to $13 billion, cementing Starlink’s role as a critical partner in military communications. Notably, however, Jeff Bezos’ Blue Origin is ratcheting up competition with SpaceX along with sister company Kuiper, that plans to rival SpaceX’s Starlink network.

Furthermore, the business appears to be losing money rapidly — but we’ll need to see its financial statements to know for sure. Unfortunately, those will not arrive until Starlink goes public. However, retail investors may get a chance to invest pre-IPO. Also, watch out for a Starlink IPO spinoff that could represent as much as half the SpaceX valuation. This guide explores six groundbreaking space startups pushing boundaries in space tech, from affordable launches to orbital habitats. With IPO potential on the horizon, discover which might reach public markets first.

However, you can gain exposure to the aerospace industry by investing in some of Starlink’s competitors on a stock trading platform such as eToro. However, there are still ways for investors to gain indirect exposure via stocks in similar industries. Quilty Space projects that Starlink’s revenue will surge to $11.8 billion in 2025. Driving that growth will be strong consumer demand for its satellite internet services and growing U.S. military contracts. That growing revenue positions Starlink to increase its profitability further.

Musk said in the past that the company needs up to $30 billion in annual funding to survive. As mentioned, Starlink isn’t publicly traded yet, and some of these issues could improve before it goes public. We do know that SpaceX has secured some funding specific to broadband access, such as $885 million in broadband subsidies from the Federal Communications Commission. According to Space.com, there are 6,426 Starlink satellites in orbit as of September 2024. In today’s increasingly digital world, internet connectivity is becoming less of a luxury and more of a necessity. However, many parts of the country and of the world remain unconnected or under-connected.

It’s hard to predict when Starlink’s cash flows will balance out. Investor interest is growing for Starlink stock to come to market. Following his decision, Musk followed up with two more tweets. At this time, it’s unknown if Musk is referring to paying customers or the number of terminals built so health care stocks far.

Since Starlink isn’t a publicly traded company, you can’t buy shares of the satellite internet service provider in your brokerage account. And because it’s a unit of SpaceX, investors can’t buy pre-IPO shares of Starlink on secondary platforms that trade shares of start-ups. Starlink represents a groundbreaking shift in global telecommunications, with the potential to reshape multiple industries. While direct investment in Starlink is not yet possible, its parent company SpaceX offers a pathway to participate in its success. But the SpaceX private company has already experienced strong appreciation and may not be suitable for everyone.

Starlink Internet Management

You can also own a tiny sliver of SpaceX and Starlink by owning Alphabet (GOOGL) shares, Google’s parent company. However, SpaceX stock is not available in the Fundrise fund at this time. A similar fund is the Fundrise Innovation Fund, where investors can own pre-IPO startups like Databricks, Anthropic, OpenAI, and Canva.

SpaceX is building a low earth orbit satellite constellation that provides internet access to the world, especially rural areas. Yes, Starlink Internet and almost all privately held companies issue stock so founders, employees, and investors can participate in equity ownership. However, because Starlink Internet is privately held, it is more challenging to acquire shares than if the company was publicly traded. The valuation of Starlink is closely tied to SpaceX, as Starlink is currently a subsidiary. SpaceX’s latest valuation in December 2023 reached $180 billion following a secondary share sale by existing investors. This places SpaceX’s valuation at approximately 17x its 2023 revenue of $8.7 billion.

Musk’s goal for Starlink is to reach a point where its revenue growth and cash flow become smooth and predictable. It’s certainly heading in the right direction to achieve the target he set for the company before a potential IPO. Investors would follow a similar process to buy an IPO stock like Starlink when it goes public. Once shares become available, fill in your brokerage account’s order page with Starlink’s selected stock ticker and submit your trade. Founded in 1993, The Motley Fool is a financial services company dedicated to making the world smarter, happier, and richer.


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