SpaceX or Rocket Lab: Which Space Stock Is the Better Buy for the Next Decade?

A comparative analysis between SpaceX (Space Exploration Technologies Corp.) and competitor Rocket Lab evaluates the long-term investment prospects within the expanding commercial space economy. Following its public market debut, SpaceX has attained a market capitalization of $2 trillion, driven by strong growth in its Starlink satellite internet unit, which generated $4.3 billion in quarterly revenue (up 66% year-over-year) and $1.66 billion in operating profit. While SpaceX aims to expand into orbital AI data centers targeting $1 trillion in revenue by 2030, analysts consider this ambitious target steep relative to its $21 billion trailing 12-month revenue. Conversely, competitor Rocket Lab trades at a substantially smaller valuation of $38 billion with a price-to-sales ratio of 48, compared to SpaceX's rich multiple of 91. Rocket Lab is developing its medium-lift Neutron rocket and acquiring Iridium Communications for $8 billion to expand into satellite communications and space applications. As both aerospace firms race to capture satellite telecommunications and launch markets, the analysis suggests Rocket Lab may present a more compelling risk-reward valuation profile over the coming decade.