SpaceX stock drops below IPO opening price despite flood of bullish Wall Street ratings

After approximately three weeks in public markets, SpaceX’s (SPCX) stock price has dropped to $149 per share, below where it began trading. Now, however, major institutional funds are about to start buying up the stock, and Wall Street is lining up bullish calls.

As SpaceX enters the Nasdaq 100 (^NDX), a cadre of Wall Street’s biggest banks initiated coverage of the company, with nearly unanimous bullish views on the “final frontier.” Here are some of their calls:

JPMorgan Chase

JPMorgan Chase initiated coverage with an Overweight rating and a price target of $225 per share.

“SpaceX’s ambitions — and potential impact on humanity — are bigger than any company’s we’ve ever seen,” analysts wrote. “While SpaceX has already reached a $2T+ market cap post its IPO, we believe significant upside potential remains as the company quite literally builds out the next frontier.”

Morgan Stanley

Morgan Stanley initiated coverage with an Overweight rating and a price target of $300 per share.

“SpaceX combines near-monopoly launch economics, the world’s largest LEO satellite network, and a fast-scaling AI infrastructure business,” analysts wrote. “We see the company as one of the few platforms that can link real estate in orbit, global connectivity, and compute capacity into one infrastructure stack.”

Goldman Sachs

Goldman Sachs initiated coverage with a Buy rating and a price target of $205 per share.

“We see the company as well positioned to scale its differentiated advantages across space (launch & reusability), connectivity (broadband & mobile satellite constellation) and AI (compute, X, etc.) — with each of these markets having the potential to become multiple trillion-dollar opportunities over a 5+ year time horizon,” analysts wrote.

Bernstein

Bernstein initiated coverage with an Outperform rating and a price target of $239 per share.

“In our view, the investment case for SpaceX is about ‘if’ it can achieve its goals and much less about ‘when,'” analysts wrote. “Our timeline for revenue growth from AI data centers is longer than the trajectory described by the company. But, we expect SpaceX to get there, even if it is one or two years late.”

RBC Capital Markets

RBC Capital Markets initiated coverage with an Outperform rating and a price target of $225 per share.

“We can appreciate timing risk associated with the company’s space aspirations, but we believe sentiment will benefit from a proven track record of disruption and innovation, an almost ~$2T 2035E TAM and virtually unmatched financial resources,” analysts wrote.

Macquarie

Macquarie initiated coverage with an Outperform rating and a price target of $250 per share.

“Vertical integration, incumbency, first-mover advantage in space, scale, unit economics, long-tenured mgmt, deep technical expertise, and recent AI wins (eg, Anthropic, Google, and Reflection AI) position SPCX well to lead across its segments and towards a lunar economy,” analysts wrote.

UBS

UBS initiated coverage with a Buy rating and a price target of $210 per share.

“We view SpaceX as an unparalleled set of assets with a multifaceted return profile and multiple drivers of upside for long term, risk tolerant investors,” analysts wrote. “Starship — the most advanced heavy-lift, re-usable rocket — is the foundational technology that unlocks opportunities in launch, communications and AI compute creating a total addressable market nearing $30T. “

Deutsche Bank

Deutsche Bank initiated coverage with a Buy rating and a price target of $255 per share.

“SpaceX represents in our view the apex of civilizational ambition, oftentimes expressed in steel and fire, bending the arc of history to make humans multiplanetary by building foundational infrastructure across transportation, connectivity, and AI,” analysts wrote. “In short, across nearly every category, we struggle to find competitors that can challenge SpaceX’s moat.”

Mizuho

Mizuho initiated coverage with an Outperform rating and a price target of $200 per share.

“SpaceX is not a rocket company. It is the infrastructure layer of the orbital economy — three structurally distinct businesses sharing a launch platform and compounding independently,” analysts wrote. “We are mindful that much of the AI and orbital data center upside remains a ‘show-me’ story and that the stock trades at a model premium, but we believe the embedded optionality across all three segments is underappreciated against the largest quantified TAM in the market.”

Bank of America

Bank of America initiated coverage with a Buy rating and a price target of $235 per share.

“SpaceX has evolved from a launch company into the foundational enabler of the space economy and the leading provider of space-based applications as a result,” analysts wrote. “SpaceX’s extensive moats on reusable launch and proliferated space applications are in our view laying the foundation for Starship and future applications to drive another paradigm shift in capabilities.”

Jake Conley is a breaking news reporter covering US equities for Yahoo Finance. Follow him on X at @byjakeconley or email him at jake.conley@yahooinc.com.

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