Straight Path Wealth Management Makes New Investment in SpaceX $SPCX

Key Points

• Straight Path Wealth Management acquired 37,013 SpaceX shares worth approximately $5.58 million, making the stock its 15th-largest holding and 1.2% of its portfolio. Several other institutional investors also initiated or expanded positions.
• SpaceX reported quarterly revenue of about $14.57 billion, up 161% year over year, and EPS of $0.35 versus analysts’ $0.10 estimate. Analysts maintain a “Moderate Buy” consensus rating with an average price target of $244.19.
• COO Gwynne Shotwell sold 342,170 shares for approximately $52.5 million under a pre-arranged Rule 10b5-1 plan, while the company continues to face concerns over cash burn, debt financing and launch-business profitability.

Straight Path Wealth Management acquired a new stake in shares of SpaceX (NASDAQ:SPCX - Free Report) during the 3rd quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The firm acquired 37,013 shares of the company's stock, valued at approximately $5,584,000. SpaceX makes up about 1.2% of Straight Path Wealth Management's investment portfolio, making the stock its 15th largest holding.

Several other institutional investors have also modified their holdings of SPCX. Viking Fund Management LLC purchased a new position in SpaceX in the 3rd quarter valued at about $1,358,000. Diversify Advisory Services LLC boosted its holdings in SpaceX by 34.0% in the 3rd quarter. Diversify Advisory Services LLC now owns 48,477 shares of the company's stock worth $7,205,000 after buying an additional 12,292 shares during the last quarter. Wedbush Securities Inc. purchased a new stake in SpaceX during the 2nd quarter worth approximately $5,094,000. Avior Wealth Management LLC purchased a new stake in SpaceX during the 3rd quarter worth approximately $2,934,000. Finally, Apella Capital LLC increased its stake in SpaceX by 218.2% during the 3rd quarter. Apella Capital LLC now owns 8,424 shares of the company's stock worth $1,412,000 after buying an additional 5,777 shares in the last quarter.

Insider Buying and Selling at SpaceX

In other news, COO Gwynne Shotwell sold 342,170 shares of the business's stock in a transaction that occurred on Tuesday, September 22nd. The stock was sold at an average price of $153.57, for a total transaction of $52,547,046.90. Following the transaction, the chief operating officer directly owned 2,472,035 shares in the company, valued at $379,630,414.95. The trade was a 12.16% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

SpaceX Stock Performance

SPCX opened at $147.49 on Monday. SpaceX has a twelve month low of $104.83 and a twelve month high of $225.64. The firm has a market capitalization of $1.94 trillion and a price-to-earnings ratio of -1,638.78. The company has a quick ratio of 3.00, a current ratio of 3.08 and a debt-to-equity ratio of 0.20. The stock's 50-day simple moving average is $149.40.

SpaceX (NASDAQ:SPCX - Get Free Report) last released its quarterly earnings data on Tuesday, October 20th. The company reported $0.35 EPS for the quarter, beating analysts' consensus estimates of $0.10 by $0.25. The company had revenue of $14.57 billion during the quarter. SpaceX had a negative net margin of 8.61% and a negative return on equity of 3.24%. The firm's revenue was up 161.4% on a year-over-year basis. During the same quarter in the previous year, the company posted ($0.36) EPS. As a group, analysts predict that SpaceX will post 0.13 earnings per share for the current fiscal year.

Wall Street Analysts Forecast Growth

A number of equities analysts have commented on SPCX shares. William Blair restated an "outperform" rating on shares of SpaceX in a research report on Friday, October 9th. UBS Group reaffirmed an "overweight" rating and issued a $300.00 price target on shares of SpaceX in a research note on Wednesday. Sanford C. Bernstein reiterated an "outperform" rating on shares of SpaceX in a research report on Wednesday. Seaport Research Partners downgraded SpaceX from a "buy" rating to a "neutral" rating in a research note on Friday, August 7th. Finally, Bank of America raised their price objective on SpaceX from $235.00 to $275.00 and gave the company a "buy" rating in a report on Thursday. Four investment analysts have rated the stock with a Strong Buy rating, thirty have issued a Buy rating, nine have issued a Hold rating and three have assigned a Sell rating to the company. According to data from MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and an average price target of $244.19.

Key Stories Impacting SpaceX

Here are the key news stories impacting SpaceX this week:

• Positive Sentiment: Strong earnings and AI growth supported the rebound. SpaceX reported third-quarter revenue of $14.58 billion, up 161% year over year, and earnings per share of $0.35 versus analysts’ $0.10 estimate. Its AI segment reportedly generated $431 million in net income, helping offset losses in the launch business. Fantastic News for SpaceX Stock Investors
• Positive Sentiment: Analyst sentiment improved sharply. PhilipCapital upgraded SpaceX from “Sell” to “Buy” and raised its price target from $75 to $250. Bank of America also lifted its target to $275, citing stronger growth prospects and Starship milestones. SpaceX Just Scored a Double Upgrade
• Positive Sentiment: Wireless ambitions broaden the growth story. Reports that SpaceX is seeking access to at least 80,000 U.S. cell sites suggest Starlink could evolve into a nationwide wireless carrier, potentially creating a major new revenue stream. The news pressured telecom stocks while benefiting tower owners. SpaceX Seeks Access to 80,000 US Cell Sites
• Neutral Sentiment: A potential Tesla NASDAQ: TSLA merger remains speculative. Elon Musk called the combination a “good idea,” but valuation, conflicts of interest, shareholder approval, antitrust review and Tesla’s China operations could delay or prevent a transaction. SpaceX-Tesla Merger Chatter
• Negative Sentiment: Funding and cash-burn concerns remain significant. SpaceX reportedly burned more than $9.9 billion in free cash flow during the quarter and is raising approximately $40 billion of debt at relatively high interest rates to finance AI and other expansion plans. SpaceX $40 Billion Debt Deal
• Negative Sentiment: Execution and reputational risks could limit upside. The launch division was unprofitable because of heavy research spending, while reports of continuing Starlink restrictions in Ukraine could threaten government relationships and future contracts. In addition, upcoming insider share unlocks may increase supply. Ukraine Says Starlink Restrictions Remain

SpaceX Company Profile

Space Exploration Technologies Corp., commonly known as SpaceX, is a privately held aerospace company founded in 2002 by Elon Musk. The company develops and operates launch vehicles and spacecraft designed to reduce the cost of access to space and support commercial, government and scientific missions.

SpaceX’s principal products and services include the Falcon 9 and Falcon Heavy rockets, the Dragon spacecraft and the Starlink satellite communications network. Falcon rockets are used to launch satellites, cargo and crew, while Dragon spacecraft support transportation to and from low Earth orbit.

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