Investment Rating - The industry investment rating is "Positive" and maintained [7] Core Insights - On December 26, the Shanghai Stock Exchange released guidelines to support commercial rocket companies in listing on the Sci-Tech Innovation Board, marking a significant step towards capitalizing the commercial aerospace industry in China [2][4] - The guidelines are expected to accelerate the IPO process for leading commercial aerospace companies, facilitating capital operations to support industry development [2][4] - The guidelines specify that companies must have a projected market value of no less than 4 billion RMB and must have received approval from relevant national authorities [4] Summary by Sections Event Description - The Shanghai Stock Exchange issued guidelines for commercial rocket enterprises to apply for the fifth listing standard on the Sci-Tech Innovation Board, supporting the commercialization of the aerospace industry [4] Event Commentary - The release of the guidelines is seen as a policy turning point that will aid the development of the commercial aerospace industry. The guidelines include 14 provisions focusing on technical advantages, required achievements, necessary approvals, and market space requirements [9] - Over 600 commercial aerospace companies exist in China, with more than ten already initiating the IPO process. Companies like Blue Arrow Aerospace are nearing the submission of their listing applications [9] - SpaceX's potential IPO could set a benchmark for Chinese commercial aerospace companies, with expectations of raising over $30 billion and a target valuation of approximately $1.5 trillion [9] Investment Opportunities - The release of the guidelines is viewed as a significant marker for the acceleration of capitalizing the commercial aerospace industry, with leading companies likely to experience a surge in IPO activities. There is a recommendation to focus on core suppliers across the industry chain, particularly those related to satellite applications [9]

Core Viewpoint - SpaceX is actively pursuing an IPO plan, aiming to raise over $30 billion and achieve a valuation of $1.5 trillion, making it the largest IPO in history, surpassing Saudi Aramco's previous record of $29 billion [1][3]. Group 1: IPO Details - SpaceX management and advisors are targeting mid to late 2026 for the IPO completion, although the timeline may adjust based on market conditions, with potential delays into 2027 [3]. - The IPO is expected to be significantly supported by the growth of the Starlink satellite internet service and the ongoing development of the Starship lunar and Mars rocket projects [3]. - SpaceX anticipates revenues of approximately $15 billion in 2025, increasing to between $22 billion and $24 billion in 2026, primarily driven by Starlink [3]. Group 2: Funding and Valuation - SpaceX has set a share price of about $420 in ongoing secondary market stock sales, raising its valuation above the previously reported $800 billion [4]. - The company is allowing employees to sell approximately $2 billion worth of stock while also participating in a share buyback [4]. - This valuation strategy aims to establish a fair market valuation benchmark ahead of the IPO [5]. Group 3: Impact on Elon Musk - If SpaceX goes public at a $1.5 trillion valuation, Elon Musk's net worth could increase by approximately $630 billion, potentially exceeding $1.1 trillion in total wealth [6].