[Trillion-Dollar Merger Pricing: Market Focuses on SpaceX Earnings Report, Confidence in Tesla Merger] BlockBeats News, October 19 — SpaceX is set to release its third-quarter earnings report after the market closes on Tuesday. The market is closely monitoring its revenue performance and capital expenditures to evaluate the company's valuation and the feasibility of a potential merger with Tesla. Barclays analysts predict that if the two companies merge, the transaction may take the form of an all-stock swap, with the higher-valued SpaceX as the primary entity. Barclays' reference valuations are $2.1 trillion for SpaceX and $1.5 trillion for Tesla. Based on these estimates, Tesla shareholders could potentially exchange each share for approximately 0.7 shares of SpaceX. Analysts believe that strong revenue growth and controlled capital expenditures at SpaceX would boost market confidence in the merger plan. Conversely, if massive AI infrastructure investments continue to strain cash flow, the market may reassess its valuation and the rationale behind the transaction. The market expects SpaceX's revenue for this quarter to be approximately $12.89 billion, while capital expenditures could reach $19.6 billion, resulting in negative free cash flow of around $11.6 billion. It is important to note that the two companies have not officially announced a merger, and the aforementioned transaction structure and share swap ratio are purely speculative analyses by analysts. [Original Link]