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SpaceX CEO Elon Musk teases nine-engine Starship, Raptor upgrades
In his latest round of SpaceX-related tweets, CEO Elon Musk says that the company has plans to boost Raptor’s performance by at least 15% and the number of those engines installed on Starship by 50%.
Those updated goals came hand in hand with significant changes to the design and operation of both Starship and its Super Heavy booster, which at one point was expected to utilize a “Boost” variant of Raptor that would trade thrust vector control (TVC; i.e. gimballing) and a wide throttle range for far greater thrust. At least according to Musk’s latest account, that substantially different “Raptor Boost” variant is now no more.
On July 3rd, NASASpaceflight forum member and photographer BocaChicaGal captured photos of SpaceX delivering three new Raptor engines to its Boca Chica Starship factory. Two of those engines (RB3 and RB4) featured Raptor Boost labels and were likely the first engines of their kind to complete qualification testing in McGregor, Texas. As of their arrival in South Texas, it was assumed that Raptor Boost still represented a variant of the engine with almost 50% more thrust at the cost of gimbal and throttle authority.
However, Musk himself replied to some of the resulting tweets later that evening, revealing that Super Heavy’s outer ring of up to 20 “Raptor Boost” engines would indeed have no ability to gimbal but would still be able to throttle.
Later the same day, the SpaceX CEO clarified further, stating that the company now plans to upgrade Raptor’s existing design to boost engine thrust to ~230 tons (~510,000 lbf) while still maintaining a wide throttle range and optional thrust vector control. With such an engine, “all Raptors on [a Super Heavy] booster, whether fixed or gimbaling, would be the same.” The only unique aspect of “Raptor Boost,” then, would be their installation around the inner ‘ring’ of Super Heavy’s skirt and their resulting lack of gimbal authority.
It’s somewhat unclear, then, why two of the engines SpaceX delivered on July 3rd were labeled “RB#” and one explicitly outfitted with a name tag reading “Hello, my name is Boost.” Notably, a quick side-by-side comparison enabled by those photos strongly implies that Raptor Booster engine 3 (RB3) and Raptor 79 (R79) are virtually identical aside from RB3’s rerouted plumbing and unique mounting hardpoints. In other words, barring surprises, the “boost” nomenclature appears to be more vestigial than anything.
Ultimately, as Musk notes, if SpaceX manages to boost “Raptor 2” to 230 tons of thrust, a Super Heavy booster with 33 mostly identical engines would have a peak liftoff thrust around 7600 tons (~16.8 million lbf), translating to a thrust to weight ratio of more than 1.5. For a large rocket with liquid propulsion only, a TWR greater than 1.5 is very respectable and improves acceleration off the launch pad, reduces gravity losses in the first few minutes of ascent, and thus boosts overall efficiency.
Already, Musk’s implication that 33 engines could ultimately be installed on Super Heavy is a departure from comments the CEO made barely a month ago when he revealed a base increase from 28 to 29 engines with the possibility of expanding to 32 down the road. Also new is the implication that SpaceX is considering adding three more vacuum-optimized engines to Starship’s six planned Raptors, leaving ships with six Raptor Vacuum (RVac) engines and three sea level-optimized engines (the same variant on Super Heavy).
Musk says that SpaceX has yet to decide if Raptor Vacuum will be commonized with Raptor 2, boosting its thrust, or if greater efficiency will be pursued instead. Regardless, even with six 200-ton-thrust RVacs and three Raptor 2s, Starship would produce upwards of 2000 tons of thrust in vacuum, creating an upper stage with almost as much thrust as Falcon Heavy and a fully-fueled thrust to weight ratio of ~1.7 – even better than Super Heavy.
Tesla (NASDAQ: TSLA) reports its earnings for Q3 today. Here’s what to expect, as the company will reveal its balance sheet after the market closes on Wednesday.
Tesla already reported deliveries just after Q3 ended, and it demolished Wall Street consensus estimates of roughly 462,000 vehicles. Tesla delivered 486,532 cars in the third quarter, which was a big beat, but was down 2.1 percent from the same quarter last year. Energy storage deployments were 13.7 GWh, up year-over-year.
Tesla showrooms picked clean ahead of Q3 end as demand looks strong
For the quarter, analysts have already compiled their predictions for what Tesla will report this afternoon:
- Total Revenues: $28.34B
- Non-GAAP EPS: $0.43
- Operating Margin: 2.5%
- Operating Income: $721M
- Free Cash Flow: ~-$4.51B
Here are a few things we are looking forward to hearing about on the call:
Automotive Gross Margin and Overall Profitability
This was 16.3 percent in Q2, down from 19.2 percent in Q1, and was impacted by warranty charges and some fading regulatory credits. Consensus implies overall gross margin near 18 percent, but a miss here would potentially reinforce concerns about pricing pressure on its vehicles.
Pay attention to energy storage margins as well, especially since Tesla missed GWh expectations, although it was still a strong quarter.
Robotaxi/Cybercab, Unsupervised FSD, and Optimus Progress
The Say questions from retail investors usually focus on these types of projects, and this quarter is no different. Scaling the Cybercab fleet beyond Austin amid the open NHTSA safety review, timeline for Unsupervised FSD in customer cars, Robotaxi unit economics, and Optimus cost per unit plus when it could start generating revenue, are all things to be looking for.
Any concrete timelines or regulatory path details will likely move the stock more than the near-term numbers. SpaceX merger speculation, which was detailed during SpaceX’s earnings call last night, may also surface, although the key details were shared last night.
Elon Musk just confirmed the Tesla and SpaceX merger step everyone was waiting for
Say Investor Questions
- How does the Cybercab fleet scale past Austin, and what’s the regulatory path outside Texas given NHTSA’s open safety review?
- When can we anticipate FSD unsupervised in customer cars?
- When will the CyberCab be available for customer purchase/ownership?
- What’s the unit economics per paid robotaxi mile, and how does it compare to the thirty-cent target?
- Tesla has acknowledged that HW3 vehicles cannot support unsupervised FSD. When will owners know whether they can upgrade their hardware for free, and when will Tesla provide a clear plan?
The full Earnings Call will be streamed this evening after market close around 5 p.m. this evening.
SpaceX confirmed the date of Starship’s 15th launch window with some massive ambitions for the mission, as it will attempt to catch Ship for the first time.
CEO Elon Musk confirmed during SpaceX’s Earnings Call last night on October 20 that it would launch Starship for its 15th test flight in November, and there are some incredible things the company wants to try, making it perhaps the most groundbreaking launch in the program’s history.
SpaceX delivers blockbuster Q3 results as Super Intelligence segment booms
The most major development of the call was SpaceX’s intention to catch Ship alongside catching the Super Heavy Booster, something that has happened in the past. SpaceX showed an animation of the Ship catch, which will be done on the launch tower’s chopsticks:
SpaceX has released a new Starship tower catch animation for the upcoming Flight 15! https://t.co/kStn01Da8u
— Truthful🛰️ (@Truthful_ast) October 20, 2026
This monumental goal is to catch both the Ship and Booster in a dual-catch scenario, an incredible feat since SpaceX has never been able to reuse a Ship after launch. Musk said it would be “the first time that an orbital launch vehicle has been fully recovered,” and said it would be a “profound technology milestone.”
Musk said the odds of success on this first Ship catch attempt are “more likely than not,” but SpaceX is ultimately prepared for more tries moving forward. The SpaceX frontman said that, starting next year, Starship would have a “steady stream” of flights through the end of the year.
The cadence will accelerate in 2027, with Musk stating the company plans to target weekly flights in the first half of 2027 and twice-weekly by year-end.
The Flight 15 attempt follows that of Flight 14, which took off in late September and was Starship’s first orbital mission. It deployed 26 Starlink V3 satellites, accomplished a controlled ocean splashdown of both stages, and shed more light on potential challenges for the program moving forward.
As of now, the Starship program is firing on all cylinders.
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Wall Street analysts rapidly raised price targets on SpaceX (NASDAQ: SPCX) after the company reported a bullish third quarter for 2026 following the market close on October 20. Shares were sent sharply higher in after-hours and premarket trading.
SpaceX posted revenue of $14.6 billion, a 161 percent year-over-year increase that comfortably topped consensus estimates, which fell near $12.7 billion. The company also posted a net profit of $4.4 billion from a prior-year loss, with adjusted EBITDA reaching $8.8 billion.
More price target movement:
🚀 Cantor Fitzgerald lifted its target to $345 from $246 (Overweight).
🚀 Barclays raised its target to $300 from $254 (Overweight).
🚀 Citi increased its target to $240 from $200 (Buy),
🚀 UBS moved to $230 from $210 (Buy)
🚀TD Cowen raised its target to $224 from $200 (Buy).
🚀Morgan Stanley held an Overweight rating with a $300 target.
🚀Other firms also adjusted higher, including Wells Fargo (to $274 from $214) and Clear Street (to $248 from $217). Analysts broadly cited the strong quarterly print, accelerating AI compute expansion, Starlink progress, and Starship milestones as drivers of higher long-term growth and earnings power.— TESLARATI (@Teslarati) October 21, 2026
Its Super Intelligence (AI) division generated roughly $7.6 billion and became the largest revenue contributor, growing nearly 830 percent year-over-year, while the Connectivity segment delivered $5.2 billion on strong subscriber additions that lifted the consumer base to 13.6 million for Starlink.
The Earnings Call proved especially catalytic, as CEO Elon Musk and CFO Bret Johnsen outlined Q1 2027 revenue guidance of $33 billion to $37 billion, which was far above the roughly $22 billion analysts had modeled, alongside fourth-quarter capital-expenditure plans of $35 billion to $40 billion focused on AI compute infrastructure at sites including Memphis and Southaven.
SpaceX delivers blockbuster Q3 results as Super Intelligence segment booms
Management targets 2.5 to 3 gigawatts of nameplate compute capacity by year-end and discussed pathways to 13 gigawatts or more by the end of 2027. Musk described relentless demand from hyperscalers and other customers, with compute pricing supporting payback periods of less than a year and potentially as short as six months.
Additional highlights included Starship’s recent orbital success and V3 satellite deployment, Starlink pricing and enterprise momentum, rapid Grok Bot adoption, spectrum expansion plans, and the formation of special committees to explore a possible combination with Tesla.
These elements prompted a wave of price-target increases:
- JPMorgan more than doubled its target to $500 from $240 while maintaining an Overweight rating.
- Cantor Fitzgerald lifted its target to $345 from $246 (Overweight).
- Barclays raised its target to $300 from $254 (Overweight).
- Citi increased its target to $240 from $200 (Buy),
- UBS moved to $230 from $210 (Buy), and
- TD Cowen raised its target to $224 from $200 (Buy).
- Morgan Stanley held an Overweight rating with a $300 target.
- Other firms also adjusted higher, including Wells Fargo (to $274 from $214) and Clear Street (to $248 from $217). Analysts broadly cited the strong quarterly print, accelerating AI compute expansion, Starlink progress, and Starship milestones as drivers of higher long-term growth and earnings power.
Shares, which closed at $147.79 on October 20, jumped roughly 8 percent in early premarket trading on October 21 as investors digested the results and the newly elevated Street targets.
The average analyst price target has moved higher, which reflects greater conviction in SpaceX’s trajectory across launch, connectivity, and the Super Intelligence business, even as elevated spending remains a point of focus.
Tesla reports Q3 Earnings today: here’s what to expect
SpaceX confirms Starship 15 launch window with massive ambitions
SpaceX stock gets a slew of price target boosts after bullish earnings call
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