Updated
Updated · Barchart · Jul 12
Grok Q2 MAUs Fall 5% as SpaceX Defends $1.94 Trillion AI Bet
Updated
Updated · Barchart · Jul 12

Grok Q2 MAUs Fall 5% as SpaceX Defends $1.94 Trillion AI Bet

3 articles · Updated · Barchart · Jul 12

Summary

  • Grok’s monthly active users have fallen 5% quarter over quarter so far in Q2, a setback for the chatbot just weeks after SpaceX’s June 12 IPO.
  • That slowdown matters because Grok sits at the center of SpaceX’s AI growth pitch, even as the stock carries a roughly $1.94 trillion valuation and a 104.66x price-to-sales multiple.
  • SpaceX is still expanding around the product, rolling out a no-code voice agent builder with 80 voices and 25 languages and planning the Starpipe gas line to support broader operations by January 2027.
  • The company’s latest quarter showed revenue up 15.42% year over year to about $4.694 billion, but net income was negative $4.276 billion and net cash flow negative $8.516 billion, underscoring the cost of its AI push.
  • Even with Grok losing momentum, analyst sentiment remains broadly bullish: 30 analysts rate the stock Moderate Buy, with an average target of $217 and some targets reaching $300 to $800.

Insights

With its AI unit burning billions, is SpaceX's Grok gamble risking its profitable Starlink business?
SpaceX's AI is 90% cheaper than rivals but lags in quality. Is this a winning disruption or a race to the bottom?