Elon Musk leads both Tesla (TSLA) and Space Exploration Technologies (SPCX), and both companies have set up independent committees to explore a merger that could create a business worth about $3.5 trillion. Tesla reported third-quarter revenue of $28.1 billion, essentially flat year over year, while operating income fell 56% to $718 million. SpaceX reported revenue of $14.6 billion, up 161%, and net income of $4.4 billion; despite generating only 52% of Tesla's quarterly revenue, it is valued at roughly $2 trillion, about $500 billion more than Tesla. Based on current valuations, SpaceX would represent about 57% of a combined company, so Tesla shareholders could end up owning less than half, while SpaceX's AI expansion requires $19.6 billion in capital expenditures in the quarter.
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mergers and acquisitionsTSLASpaceXElon Musk
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Related tickers and likely impact
TSLA
▼ Likely negativeTesla, Inc.
Relevance: medium
| Market | US stocks |
|---|---|
| Sector | Consumer Discretionary |
| Industry | Automobile Manufacturers |
| Market cap | $1.5T |
| Close on 10/26/2026 | 391.69 |
| Change that session | +5.23% |
Impact is scored by AI from the headline and may be wrong. It is not investment advice.
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