SpaceX Results and Musk’s Merger Support Lift Shares

SpaceX’s stronger-than-expected third-quarter results and Elon Musk’s support for a possible merger with Tesla helped lift the company’s shares and strengthen trading in technology stocks on Wednesday, though no transaction has been agreed. Super Micro Computer also gained after forecasting quarterly revenue and profit margin above Wall Street estimates, adding to improved appetite for artificial-intelligence-related stocks. SpaceX reported revenue of $14.58 billion for the quarter, compared with analyst expectations of $12.72 billion. Adjusted earnings per share were 45 cents, against an expected 13 cents. The company also reported operating income of $2.8 billion and net income of $4.4 billion, compared with a net loss of $1.05 billion in the same period a year earlier. SpaceX shares rose during Wednesday trading as investors responded to the results and merger discussion. Reports recorded gains at different points in the session, rather than a single closing return. Tesla shares also advanced during the day. Musk said a merger of SpaceX and Tesla would be a good idea, but cautioned that it was not certain to proceed. According to his remarks on SpaceX’s earnings call,...