SpaceX (SPCX) stock rose about 5% on Tuesday, with no new news, although a couple of catalysts may be at work. On Monday, SpaceX said on SpaceX said the test mission, if successful, will deploy new Starlink satellites and test improvements to both the Starship and its booster. CEO Elon Musk hinted that the company could try to “trap” Starship at the SpaceX launch site with “Mechazilla” arms. A successful Starship flight is important to SpaceX’s bullish case, as it supports the economics of Starlink deployment, commercial cargo launches and the company’s lunar ambitions. Earlier today, SpaceX investor Ron Baron spoke about the Starlink business. “I think Starlink alone could generate $1 trillion in revenue in 10 years,” Baron said in an interview with CNBC. “And if you look at the margins, $700 billion, $800 billion of EBITDA. And we put a multiple on that, that would support a valuation of $14 trillion, $15 trillion.” Additionally, Musk hinted at the possibility of some mergers between the members of “Muskonomy”: Tesla (TSLA) and SpaceX. Speaking last night at the All-In Summit, Musk said it was a big question whether the two companies would remain separate despite various avenues of collaboration. “With all this collaboration, on so many levels, who can imagine what actions could be taken when there is such close collaboration in so many areas?” he said. Yahoo Finance reached out to SpaceX regarding Musk’s comments about a possible merger, but did not immediately receive a response. This is not the first time that Musk has talked about this possibility. Reports suggested that he had openly discussed the possibility of a merger between the two companies before SpaceX’s initial public offering in June. Pras Subramanian is Yahoo Finance’s senior transportation reporter. You can follow him on X and on Instagram. Click here for the latest tech news impacting the stock market. Read the latest financial and business news from Yahoo Finance
