SpaceX receives 1st investment grade rating from risk agencies

Moody's Ratings assigned, this Thursday (18), for the first time, a BAA1 long-term credit rating to SpaceX, with a stable outlook. The agency highlighted the company's position as a global leader in orbital launches and as operator of the largest satellite internet network in low Earth orbit, Starlink.

According to the Moody's report, Starlink has consolidated itself as the company's main cash generator, supporting revenue growth, margin expansion and business diversification beyond space launch services.

Elon Musk's company also received positive evaluations from other risk rating agencies. Fitch assigned a BBB+ rating, while S&P Global Ratings assigned a BBB rating.

In all cases, SpaceX's debt fell into a category that indicates moderate credit risk to investors, with adequate ability to meet financial commitments.

In the case of S&P's assessment, the strength of the company's space launch and connectivity businesses was highlighted. On the other hand, the artificial intelligence segment is highlighted as a point of relevant uncertainty, due to the high need for capital and the highly competitive environment in the sector.

Despite the agencies' recognition, the company's shares fell 1.1% in the extended trading session this Thursday (18), after ending the regular session with a drop of close to 4%.

SpaceX surpassed the $2 trillion mark in market value after its debut on the Nasdaq last week.

The shares registered strong appreciation in the first two days of trading, but gave back part of the gains as investors began to question whether the company's high valuation is compatible with the high investments required by its expansion strategy in artificial intelligence.

*With information from Reuters.

Source: CNN