3 Stocks That Can Benefit From SpaceX’s Surprise Q3 Earnings

SpaceX's recent earnings report has prompted a renewed interest in AI hardware stocks among investors on Wall Street. The company, led by Elon Musk, is set to invest billions in enhancing its computing infrastructure, which could have positive implications for three publicly traded stocks in the U.S.

On Tuesday, SpaceX announced its third-quarter revenue reached $14.58 billion, marking a remarkable 161% increase compared to the same period last year. The company also reported a net profit of $4.4 billion. Notably, SpaceX's AI division generated revenue of $7.56 billion, outpacing its connectivity business, which includes the Starlink satellite internet service, that brought in $5.25 billion.

The most surprising aspect of the earnings report was the company’s expenditure. SpaceX's AI infrastructure accounted for $16.4 billion of its total quarterly capital expenditures, which amounted to $19.6 billion. CFO Bret Johnsen indicated that the total spending for the fourth quarter could range between $35 billion and $40 billion, significantly exceeding Wall Street's predictions. Following this announcement, SpaceX's stock saw an after-hours increase of approximately 2.5%. Similarly, Nvidia, Micron, and Seagate experienced gains of around 2% in after-hours trading, although other market factors may have influenced these movements.

Wall Street analysts have identified three stocks that may experience substantial growth as a result of SpaceX's developments:

1. Nvidia (NVDA): The Most Direct Connection to SpaceX

Nvidia stands out as the company with the strongest direct relationship to SpaceX's expansion plans. Earlier this month, it was reported by Reuters that SpaceX is looking to secure $40 billion in financing to acquire Nvidia's AI chips. This potential order could significantly boost demand for Nvidia's processors, although the financing deal has not yet been finalized. Among 62 analysts, the consensus price target for Nvidia is $328.72, with Citi setting a target of $315 and UBS forecasting $300. Despite being the most promising option for direct exposure to SpaceX's growth, there are risks associated with potential delays in financing and concerns regarding excessive spending on AI.

2. Micron (MU): Meeting the Demand for AI Memory

Micron plays a key role in the AI landscape by supplying high-bandwidth memory (HBM), which is essential for powering demanding AI tasks that Nvidia's processors handle. The company's most recent quarterly revenue reached $54.23 billion, more than quadrupling from the previous year. SpaceX's expansion in computing capabilities could further enhance demand for Micron's products, even in the absence of a confirmed supply agreement. Among 49 analysts, the average price target for Micron stands at $1,561, with Bank of America projecting $1,550 and KeyBanc setting a target of $1,750. Micron is considered to have the highest consensus potential for growth among the three stocks, although fluctuations in memory prices may pose risks due to changes in supply and demand.

3. Seagate (STX): Capitalizing on Storage Needs

As AI infrastructure grows, the need for substantial data storage increases. Seagate manufactures high-capacity hard drives that are utilized in cloud data centers, making it well-positioned to benefit from this trend. The company's fiscal 2026 revenue saw a 34% increase, reaching $12.2 billion, highlighting its role in supporting the data storage needs of AI and cloud computing.

In summary, SpaceX's unexpected third-quarter earnings and plans for significant investment in AI infrastructure could create favorable conditions for Nvidia, Micron, and Seagate. As these companies align themselves with the evolving demands of AI technologies, investors are watching closely for potential opportunities in the market.