SpaceX (NASDAQ:SPCX) Raised to "Strong-Buy" at Pivotal Research

Key Points

• Pivotal Research upgraded SpaceX to “strong-buy” and set a $220 price target. Overall analyst sentiment is “Moderate Buy,” with an average target of $221.06.
• SpaceX reported quarterly revenue of $7.81 billion, up 91.9% year over year, while quarterly EPS of $(0.09) beat estimates of $(0.26).
• The investment case depends heavily on successfully developing a reusable Starship system, while the company faces significant valuation, execution, capital-spending and competitive risks.

SpaceX (NASDAQ:SPCX - Get Free Report) was upgraded by equities research analysts at Pivotal Research to a "strong-buy" rating in a research note issued to investors on Tuesday, Zacks reports.

Several other equities research analysts also recently commented on SPCX. TD Cowen started coverage on SpaceX in a report on Monday, June 22nd. They set a "buy" rating for the company. Wells Fargo & Company reduced their target price on shares of SpaceX from $215.00 to $212.00 and set an "overweight" rating for the company in a research note on Tuesday. Needham & Company LLC reissued a "buy" rating and set a $250.00 price target on shares of SpaceX in a research report on Wednesday, August 5th. Barclays raised shares of SpaceX from an "underweight" rating to an "overweight" rating in a research report on Monday, June 22nd. Finally, Cantor Fitzgerald reissued an "overweight" rating and set a $246.00 target price on shares of SpaceX in a research report on Wednesday, August 5th. Three analysts have rated the stock with a Strong Buy rating, twenty-five have issued a Buy rating, eight have issued a Hold rating and seven have given a Sell rating to the company's stock. Based on data from MarketBeat, the stock has a consensus rating of "Moderate Buy" and an average price target of $221.06.

SpaceX Stock Up 3.7%

Shares of NASDAQ SPCX opened at $153.47 on Tuesday. The company has a debt-to-equity ratio of 0.29, a quick ratio of 4.99 and a current ratio of 5.12. The company has a market capitalization of $2.01 trillion and a price-to-earnings ratio of -1,705.22. The business's fifty day moving average is $135.48. SpaceX has a 12-month low of $104.83 and a 12-month high of $225.64.

SpaceX (NASDAQ:SPCX - Get Free Report) last posted its quarterly earnings results on Tuesday, August 4th. The company reported ($0.09) earnings per share for the quarter, beating the consensus estimate of ($0.26) by $0.17. The company had revenue of $7.81 billion during the quarter. The firm's quarterly revenue was up 91.9% compared to the same quarter last year. On average, equities analysts predict that SpaceX will post -0.15 earnings per share for the current year.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Syntax Research Inc. purchased a new position in SpaceX in the second quarter valued at approximately $26,000. Atwood & Palmer Inc. bought a new stake in shares of SpaceX in the second quarter valued at $29,000. PayPay Securities Corp purchased a new position in shares of SpaceX during the 2nd quarter valued at $30,000. Marquette Asset Management LLC purchased a new stake in SpaceX in the 2nd quarter worth about $32,000. Finally, Community Bank N.A. bought a new stake in SpaceX in the 2nd quarter valued at about $38,000.

More SpaceX News

Here are the key news stories impacting SpaceX this week:

• Positive Sentiment: New Buy rating and $220 target: Pivotal Research initiated coverage with a Buy rating and a $220 price target, implying substantial upside. The firm’s thesis depends heavily on SpaceX successfully developing a reusable Starship system, which could expand launch capacity and support Starlink growth. CNBC analyst coverage article
• Positive Sentiment: Possible $15.5 billion of passive demand: JPMorgan estimates a Nasdaq-100 rebalance could significantly increase SpaceX’s index weighting, potentially forcing roughly $15.5 billion of buying from passive funds. This prospect is supporting sentiment despite the stock’s recent volatility. Benzinga Nasdaq rebalance article
• Positive Sentiment: Strong operating momentum: SpaceX reported quarterly revenue of $7.81 billion, up 91.9% year over year, and beat the consensus earnings estimate. Analysts also point to Starlink’s potential to address a large terrestrial and wireless connectivity market. Seeking Alpha analyst outlook
• Neutral Sentiment: Share unlocks have not yet triggered major selling: SpaceX has absorbed two prior insider share unlocks relatively well, but approximately 319 million additional shares are scheduled to become eligible for sale on September 9. The market is watching whether this third unlock produces heavier supply. Benzinga share unlock article
• Negative Sentiment: Execution and valuation risks remain high: Analysts say the bull case rests “almost entirely” on Starship reusability. Failure to scale the rocket could materially reduce SpaceX’s future growth prospects, while its roughly $2 trillion valuation appears aggressive relative to projected 2026 revenue. MarketWatch Starship analysis
• Negative Sentiment: Competitive and capital-spending pressure: The Exploration Company raised $450 million to challenge SpaceX, while SpaceX is expected to face a significant 2027 capital-expenditure increase. These factors could pressure returns if Starship and other new initiatives require substantial funding before generating cash flow. TechCrunch competitor funding article

About SpaceX

Space Exploration Technologies Corp. (SpaceX) is a privately held aerospace company founded in 2002 by Elon Musk. The company develops and operates launch vehicles, spacecraft and satellite systems, serving commercial, government and scientific customers.

SpaceX's principal products include the Falcon 9 and Falcon Heavy rockets, which are used to launch satellites, spacecraft and other payloads into orbit. The company also develops the Dragon spacecraft, which supports cargo and crew missions to low Earth orbit, including missions for NASA and other customers.

Through its Starlink business, SpaceX operates a large constellation of low Earth orbit satellites that provides broadband internet service to customers in numerous countries and regions.

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