SpaceX Posts First Profit, Nvidia Backs $164.5B of Data Centers

SpaceX reported $14.58 billion in Q3 revenue and its first quarterly profit since going public, with AI compute rental deals as the driver. Separately, Nvidia’s exposure to AI data center leases and Susquehanna’s higher AMD target frame the question of how long the spending cycle can last.

Key points

• SpaceX Q3 revenue was $14.58 billion with EPS of $0.35, and the stock rose 6.89% after hours, per FinanceFeeds.
• Musk said SpaceX and Tesla formed independent merger committees. Hindu BusinessLine puts the possible combination at $3.5 trillion.
• Nvidia now backs up to $164.5 billion of AI data center leases and capacity, according to Forbes.
• Susquehanna raised its AMD price target to $620 from $550, and Super Micro rose 9.12% intraday on October 21.

What did SpaceX’s first profit show?

The Hurriyet Daily News report says the profit came from deals to rent out computing power to AI firms. That matters for investors because it shows a company best known for rockets earning money as an AI infrastructure supplier.

The quarter’s headline figures, $14.58 billion in revenue and $0.35 EPS, come from FinanceFeeds. The sources reviewed do not break out how much of revenue came from compute rental versus launch or other businesses, so the size of the AI contribution is unclear.

The market reaction was positive. GuruFocus notes bullish sentiment building for Meta and Tesla ahead of their own reports following the SpaceX move.

How serious is the SpaceX-Tesla merger talk?

Both companies have formed independent committees to study a combination, per FinanceFeeds and Hindu BusinessLine. Musk called a merger “a good idea”. Coverage from Pretoria News says the companies are exploring collaboration in AI software, chip design, robotics and space-based computing.

This is a study stage only. The sources give no terms, exchange ratio, timeline or regulatory path. The $3.5 trillion figure is a reported estimate of a possible combined size, not an agreed valuation. Independent committees suggest the boards expect conflict-of-interest questions, but that is an inference, not something the sources state.

Is Nvidia’s data center backing a risk?

Forbes reports that Nvidia backs up to $164.5 billion of AI data center leases and capacity, framing it as a way to keep GPU demand flowing. The article is written from the perspective of CIOs signing GPU contracts. For shareholders, the practical question is how much of Nvidia’s demand depends on commitments it helps underwrite.

That sits alongside SCMP reporting that Jensen Huang speaks in Berlin on Wednesday while Nvidia faces investor scrutiny over whether the AI spending boom can deliver long-term returns. The agenda covers sovereign AI, industrial automation and operational infrastructure, areas where Nvidia hopes to widen demand beyond a handful of US tech giants.

What else is moving chip stocks?

Susquehanna lifted its AMD target to $620 from $550 ahead of semiconductor earnings season, citing optimism on the sector. A single analyst target is one view and not a forecast.

Super Micro gained 9.12% intraday in a broadly positive session for major US indexes. The source gives no company-specific catalyst, so the move looks tied to the wider rally.

One policy item to watch: StockMarketWatch reports senators are probing Google’s AI school push. The excerpt provided offers no further detail, so its investor impact is unknown.

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