SpaceX Not Eligible for S&P 500 Until June 2027, Profitability Remains a Hurdle
Despite its inclusion in the Nasdaq-100 shortly after its IPO, SpaceX is not eligible to join the S&P 500 until at least June 2027 due to index requirements. The company must meet three criteria: a minimum of one year on an exchange (seasoning test), positive GAAP net income for both the most recent quarter and four quarters combined, and public float of at least 10%. SpaceX currently fails the profitability requirement with a $541 million loss in Q2 alone. However, its losses are expected to decrease as older ones fall out of the rolling four-quarter window by June 2027. The company is showing signs of improvement, including reduced operational losses and strong revenue growth. Despite these improvements, significant capital expenditures on AI data centers will continue to impact earnings through depreciation charges in future periods.
Topics: market rules SpaceX IPO stock indices