Skip to navigationSkip to main contentSkip to right columnADVERTISEMENTJennifer Saibil, The Motley FoolSat, July 4, 2026 at 7:05 PM GMT+2 3 min readSpace Exploration Technologies (NASDAQ: SPCX) became a public company on June 12, initially soaring after its initial public offering (IPO), but now the stock is about 19% off its high.Some investors might be wondering if now is a good time to buy the stock or if they should wait for a more attractive entry point since SpaceX stock went public at a high valuation. So, is now the right time to dive in?Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia. Continue »SpaceX is the futureSpaceX had an unprecedented and unparalleled IPO, selling more than $86 billion worth of stock. For reference, the previous record holder was Saudi Aramco, which raised $26.6 billion in 2019.Fans believe SpaceX offers technology that will be relevant in the future, and as it comes to pass, they'll win big. Elon Musk and his team have put people into space, and SpaceX is the world's largest rocket launch company, with 650 launches to date. It has figured out how to make launchers reusable, and it's on a mission to make space travel accessible to humans.But the space segment is growing slowly, and it's still not profitable. It posted an operating loss of $657 million on $4.1 billion in revenue last year, with revenue up 7.6%.Image source: Getty Images.Satellite broadband is another area where it's a leader and where the consequences could be far-reaching. It has 9,600 satellites in orbit and serves 10.3 million customers in 164 countries. It offers broadband in rural areas and other places where standard internet providers don't reach, and the business is thriving, with $1.2 billion in operating income on $3.3 billion in revenue in the 2026 first quarter.The artificial intelligence (AI) business might be less exciting for investors. The AI segment, xAI, only merged with SpaceX earlier this year. However, this is where the company is investing today and where it sees its greatest opportunities.Is SpaceX stock a buy on the dip?Elon Musk has created other companies, like Tesla, that have really changed the world, and SpaceX fans are betting that he can do it again.However, there are a few problems with the SpaceX thesis. One is that, even though it's on top right now, it faces competition and doesn't necessarily have the economic moat to stay there. Another is its valuation. Even at this lower price, it trades at the nosebleed valuation of 111 times trailing-12-month sales. That's no bargain.Terms and Privacy PolicyEU DSA contactPrivacy & Cookie SettingsMore Info