SpaceX Drops 6% as 10 Banks Launch Bullish Coverage
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- SpaceX (SPCX) dropped 6% to $150.80, returning roughly to its $135 IPO price after about three weeks of public trading.
- Ten Wall Street banks — JPMorgan, Morgan Stanley, Goldman Sachs, Bernstein, RBC, Macquarie, UBS, Deutsche Bank, Mizuho, and Bank of America — all initiated with buy-equivalent ratings and price targets ranging from $200 to $300.
- Morgan Stanley set the street-high target at $300, citing SpaceX's "near-monopoly launch economics," its Starlink constellation, and a fast-scaling AI infrastructure business.
- SpaceX entered the Nasdaq 100 (^NDX, down 2.10%) as a newly public constituent, a move that triggers passive index-fund buying analysts flagged as a key near-term catalyst.
- UBS projected a total addressable market "nearing $30T" spanning launch, communications, and AI compute, anchored by the Starship platform.
- Bernstein and Mizuho tempered the consensus, with Bernstein saying its AI-data-center revenue timeline runs "one or two years late" versus company projections, and Mizuho labeling much of the orbital-economy upside a "'show-me' story."
Why it matters: Ten unanimous buy ratings with a $200–$300 target band against a stock trading at $150.80 means the Street sees 33–100% upside, yet the 6% drop shows the market isn't pricing that in yet. The Nasdaq 100 inclusion is the mechanism that could force index-tracking funds to buy, potentially closing the gap between the current price and Street's lowest target.
