Elon Musk Is Back Working With the U.S. Government. Why That Could Be Trouble for SpaceX's Stock

Elon Musk is again working closely with the U.S. government, a development that could increase volatility for SpaceX shares, according to the article. It cites Musk being named to co-lead “Project Meridian,” a 120-day effort to study the future of warfare and identify the capabilities needed for “absolute technological dominance” on the next-generation battlefield. The piece points to Musk’s prior involvement with a government initiative described as focusing on cost-cutting, during which Tesla shares fell 34% from Jan. 20, 2025 to April 30, 2025, versus a 7% decline in the S&P 500. SpaceX is described as highly valued at about $2.2 trillion and not currently profitable, making it potentially more sensitive to negative press and expectations.