SpaceX shot into the Nasdaq-100 index Tuesday, mere weeks after its stock market debut on June 12. This rapid leap is one of the quickest ever, thanks to new Nasdaq rules. Company valued at about $2 trillion,might draw billions as funds shuffle their holdings.
Yet, despite broker optimism,SpaceX shares dipped 5.4%,echoing a broader tech slump, with Micron Technology also sliding . Doubts linger over the AI boom’s longevity. Mark Hackett of Nationwide remarked,"There’s nervousness about expectations being too high . I expect that to continue until we get some earnings out."
SpaceX's Nasdaq-100 weight is 1.34%, dwarfed by tech behemoths like Nvidia and Apple. Nasdaq tweaks its index based on share availability. Normally, firms need several profitable quarters to join major indices, but SpaceX got a waiver, entering after 15 trading days.
Brokerages like Goldman Sachs, Morgan Stanley,and JP Morgan now cover SpaceX with strong ratings,focusing on traditional metrics versus just faith in CEO Elon Musk. Goldman Sachs sees potential in space,connectivity,and AI, forecasting each as a multi-trillion-dollar market in five years.
Analysts are bullish on SpaceX's Starship, a next-gen reusable rocket crucial for growth. Launch forecasts vary,from 1,500 to 5,000 yearly by 2031,hinging on reusability. Raymond James targets SpaceX at $800,calling it a century-defining platform.
But not everyone’s convinced. MoffettNathanson and KeyBanc offer neutral ratings,while CFRA gives a sell rating with a $115 target. Investors eye SpaceX’s AI infrastructure potential, competing with OpenAI and Anthropic Grok model .
SpaceX's Starlink service is another growth area. Company's future hinges on Starship’s success. Deutsche Bank analysts highlight SpaceX’s edge in deploying AI both on Earth and in space, marking it as a top 'haloscaler' for cost-efficient computing power.
With a market cap near $2 trillion, SpaceX is the sixth-largest US company. CEO Elon Musk is now a trillionaire. Last month, FTSE Russell added SpaceX to its indexes, letting funds like iShares Russell 1000 ETF invest in this historic IPO. But S&P Global hasn't sped up its process,so SpaceX’s S&P 500 entry could take year.
