SpaceX (NASDAQ:SPCX) Stock Price Down 3.1% - Here's Why

Key Points

• SPCX fell 3.1% on Thursday and traded below its IPO price, a move that has sparked headlines about losses for recent buyers and renewed concern that the initial rally has reversed.
• Short sellers are applying heavy pressure, with reports that they have built large positions and generated about $8.7 billion in paper profits as the stock retreated.
• Despite the pullback, Wall Street remains mostly bullish: firms including Goldman Sachs, Morgan Stanley, Evercore, Needham, and Raymond James still see long-term upside tied to AI, Starship, and SpaceX’s vertical integration, while today’s Starship Flight 13 launch is viewed as an important catalyst.

Shares of SpaceX (NASDAQ:SPCX - Get Free Report) traded down 3.1% during trading on Thursday . The stock traded as low as $130.74 and last traded at $131.11. 54,435,393 shares changed hands during mid-day trading, a decline of 55% from the average daily volume of 119,722,305 shares. The stock had previously closed at $135.27.

SpaceX News Summary

Here are the key news stories impacting SpaceX this week:

• Positive Sentiment: Cathie Wood’s Ark Invest bought more than $51 million of SpaceX shares last week, and additional buying around the dip suggests some investors see the pullback as a buying opportunity. Cathie Wood's Ark Invest Bought Over $51 Million of SpaceX Stock Last Week
• Positive Sentiment: Several Wall Street firms remain bullish, with analysts at Morgan Stanley, Evercore, Needham, and Raymond James reiterating favorable views and raising price targets on long-term AI, Starship, and vertical-integration upside. Morgan Stanley’s Adam Jonas Reiterates Overweight on SpaceX (SPCX) with Unchanged $300 Price Target, Citing Vertical Integration and Long-Term Growth Potential
• Positive Sentiment: Today’s Starship Flight 13 launch is a key catalyst; a successful test could improve confidence in SpaceX’s execution and support the stock. Unleashed from FAA grounding, SpaceX Starship aims for launch today
• Neutral Sentiment: Coverage on the stock is sharply divided, with some analysts warning the IPO frenzy has gone too far while others argue the recent weakness reflects a normal post-IPO reset rather than a broken business case.
• Neutral Sentiment: SpaceX continues to attract attention from ETFs and space-investing products, including a new options-income ETF tied to SPCX, which adds visibility but also reflects the stock’s growing volatility. YieldMax Introduces Option Income Strategy ETF on Space Exploration Technologies Corp. (SPCX)
• Negative Sentiment: SPCX has fallen back below its IPO price, triggering headlines about losses for recent buyers and fueling concerns that the stock’s initial rally has fully unraveled. Short sellers rack up $8.7 bln profit as SpaceX slips below IPO price - Ortex
• Negative Sentiment: Short sellers now represent a large share of the float and have accumulated about $8.7 billion in paper profits, which is adding technical pressure and keeping traders cautious. Short sellers load up against SpaceX as stock retreats back to IPO price

Wall Street Analyst Weigh In

SPCX has been the subject of several analyst reports. The Goldman Sachs Group initiated coverage on shares of SpaceX in a report on Tuesday, July 7th. They set a "buy" rating and a $205.00 price target for the company. New Street Research upgraded shares of SpaceX to a "strong-buy" rating in a research report on Thursday, June 11th. Arete Research set a $401.00 target price on shares of SpaceX and gave the stock a "buy" rating in a research note on Thursday, June 18th. KGI Securities cut shares of SpaceX from an "outperform" rating to a "hold" rating in a research report on Monday, June 22nd. Finally, TD Cowen initiated coverage on SpaceX in a report on Monday, June 22nd. They set a "buy" rating for the company. Four analysts have rated the stock with a Strong Buy rating, twenty-four have assigned a Buy rating, eight have given a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat.com, SpaceX presently has an average rating of "Moderate Buy" and a consensus target price of $234.78.

SpaceX Trading Down 3.1%

SpaceX (NASDAQ:SPCX - Get Free Report) last released its earnings results on Thursday, May 7th. The company reported ($1.27) earnings per share (EPS) for the quarter. The company had revenue of $4.69 billion for the quarter.

Institutional Trading of SpaceX

Several large investors have recently made changes to their positions in SPCX. Atwood & Palmer Inc. acquired a new position in SpaceX during the 2nd quarter worth approximately $29,000. Beacon Investment Advisory Services Inc. acquired a new stake in SpaceX in the second quarter valued at approximately $174,000. Strategic Investment Solutions Inc. IL bought a new stake in shares of SpaceX during the second quarter valued at approximately $181,000. Teamwork Financial Advisors LLC bought a new stake in shares of SpaceX during the second quarter valued at approximately $8,027,000. Finally, Ebert Capital Management Inc. acquired a new position in shares of SpaceX during the second quarter worth approximately $647,000.

About SpaceX

SpaceX, or Space Exploration Technologies Corp., is an American aerospace company focused on the design, manufacture and launch of advanced rockets and spacecraft. The company develops launch vehicles and space systems used for commercial, government and scientific missions, with a strong emphasis on lowering the cost of access to space through reusable rocket technology.

Founded in 2002 by Elon Musk, SpaceX has built a broad portfolio of products and services that includes the Falcon 9 and Falcon Heavy rockets, the Dragon spacecraft and the Starship development program.

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