Corporate earnings from SpaceX and Netflix came in to give investors and traders more insight to the next market direction. As Netflix shows a dull outlook, Netflix is down around 4% in after-hours trading at the time of writing.
SpaceX tops expectations, and shares in the after-hours are up around 1.5% to trade at around $150 dollars a share at the time of writing, which is still lower than its post-IPO (initial public offering) hype price of $201 a share.
SpaceX CapEx (capital expenditure) came in line with analyst expectations. A big question is still: when does Elon Musk merge SpaceX with Tesla, which would also be the biggest M&A (merger & acquisitions) deal ever?
SPACEX (SPCX) Q3 2026 EARNINGS
CORE FINANCIAL NUMBERS
Consensus Revenue: $12.72B – $12.89B (reflecting a ~65% sequential expansion from Q2's $7.81B). Consensus EPS: $0.13 – $0.15 (marking the firm's first positive post-IPO adjusted EPS).
Adjusted EBITDA: Expected at ~$6.62B. Capital Expenditures: Projected at $19.61B as infrastructure investment ramps up significantly. Free Cash Flow: Expected to land at negative ~$11.6B due to heavy CapEx.
REVENUE BREAKDOWN BY SEGMENT
AI Solutions & Infrastructure (AI/SI): Expected at ~$6.47B (becoming the company's largest single line item). Connectivity (Starlink): Projected at ~$4.84B. Space (Launch Services & Commercial Payloads): Forecast at ~$1.41B.
FORWARD GUIDANCE & MARKET FOCUS
Terrestrial Compute Expansion: Management target remains locked on scaling to roughly 2 Gigawatts (GW) of compute capacity by year-end 2026, targeting 5–10 GW in 2027.
Full-Year Revenue Targets: Analysts and consensus models point toward ~$51.6B for FY2026, with revenue scaling toward ~$127.5B in 2027 driven primarily by AI hosting growth.
Liquidity & Financing Watch: Focus on the call centers on non-dilutive debt financing structures for GPU scaling, specifically details regarding ongoing discussions for $40B in Nvidia hardware financing.
U.S. equities marched higher as robust corporate earnings and solid tech performance countered European equity losses driven by French unrest and bank drags. Crypto markets caught a bid as Bitcoin spiked to $83.3K alongside rising domestic shares, with Bitcoin volatility now quieter than roughly 20% of the S&P 500.
Industrial and tech balance sheets drove headline action. 3M raised its 2026 EPS guidance to $9.10-$9.15 while outlining $6 billion in Amazon-linked data center sales milestones, while Northrop Grumman projected 2027 sales growth of 5% to 7%.
In enterprise tech, Salesforce deepened its AI push with a $5.66 billion deal for Braze, and Equifax shares soared after a third-quarter earnings beat. Commodities diverged across sectors as oil outpaced pullbacks in copper and gold, despite Russian oil export revenues falling on lower production.
European gas production plunged 12.6% heading into winter, tightening regional supply conditions. Traders now look ahead to Wednesday for the latest U.S. oil inventory data.
With the S&P 500 up for the day but the tech-heavy NASDAQ down, it shows firms reposition themselves for the next big market event. Eyes tomorrow are on corporate tech earnings from IBM, Tesla, and Meta.
