SpaceX (NASDAQ:SPCX) Trading Down 6.7% - Should You Sell?

Key Points

• SpaceX shares fell 6.7% in mid-day trading, dropping from a prior close of $123.54 to around $115.26. Trading volume was below average, suggesting the decline happened without unusually heavy participation.
• Despite the pullback, analysts and some major investors remain constructive. Macquarie reiterated a bullish view, and Cathie Wood reportedly bought the dip, while the consensus rating remains “Moderate Buy.”
• Near-term catalysts and risks are mixed: SpaceX is preparing for Starship Flight 13 and its first public quarterly earnings report, but investors are also watching for large insider share unlocks that could increase selling pressure.

Shares of SpaceX (NASDAQ:SPCX - Get Free Report) fell 6.7% during mid-day trading on Wednesday . The company traded as low as $115.19 and last traded at $115.26. Approximately 90,717,020 shares were traded during mid-day trading, a decline of 20% from the average daily volume of 113,396,305 shares. The stock had previously closed at $123.54.

SpaceX News Roundup

Here are the key news stories impacting SpaceX this week:

• Positive Sentiment: Analysts and high-profile investors remain bullish, with Macquarie reiterating a constructive view on SpaceX’s AI infrastructure opportunity and Cathie Wood publicly buying the dip. Buy Any Dip in SpaceX Stock — Macquarie Sees Massive Upside Ahead
• Positive Sentiment: SpaceX is reportedly exploring a large Texas AI data center and a potential new revenue stream from in-orbit satellite servicing, which could support the long-term bull case. SpaceX plans Texas data center expansion, The Information reports
• Neutral Sentiment: SpaceX is set to attempt Starship Flight 13 after a prior abort, keeping attention on execution risk and the company’s launch cadence. SpaceX targets July 23 for crucial Starship Flight 13 test launch after abort
• Neutral Sentiment: Investors are waiting for the company’s first quarterly results as a public company, which will provide the first real read on revenue, margins, and guidance. SpaceX To Report First Public Earnings On August 4
• Negative Sentiment: Large insider share unlocks are approaching, with roughly $116 billion of stock potentially becoming eligible for sale, fueling dilution and selling-pressure concerns. $116 Billion in SpaceX Stock Could Soon Be Unlocked
• Negative Sentiment: Several articles point to weakness in the stock since its IPO, with short sellers building positions and skeptics warning that the valuation may still have room to fall. Bets against SpaceX grow to 32% of float

Analyst Upgrades and Downgrades

Several analysts have weighed in on SPCX shares. Clear Str raised SpaceX to a "strong-buy" rating in a research report on Tuesday, July 7th. Zacks Research upgraded SpaceX to a "hold" rating in a research note on Monday, June 15th. Daiwa Securities Group assumed coverage on SpaceX in a research report on Thursday, July 2nd. They set a "neutral" rating and a $175.00 price target on the stock. Sanford C. Bernstein started coverage on SpaceX in a research note on Tuesday, July 7th. They issued an "outperform" rating and a $239.00 price target on the stock. Finally, William Blair assumed coverage on SpaceX in a research report on Tuesday, July 7th. They set an "outperform" rating for the company. Four investment analysts have rated the stock with a Strong Buy rating, twenty-four have given a Buy rating, eight have issued a Hold rating and one has given a Sell rating to the stock. According to MarketBeat.com, SpaceX presently has a consensus rating of "Moderate Buy" and a consensus price target of $234.78.

SpaceX Stock Down 6.7%

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

Institutional Investors Weigh In On SpaceX

Several institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Atwood & Palmer Inc. bought a new position in SpaceX in the second quarter valued at about $29,000. Marquette Asset Management LLC purchased a new stake in shares of SpaceX during the 2nd quarter valued at about $32,000. Burkett Financial Services LLC purchased a new stake in shares of SpaceX during the 2nd quarter valued at about $70,000. Contravisory Investment Management Inc. bought a new position in shares of SpaceX in the 2nd quarter worth approximately $73,000. Finally, Thurston Springer Miller Herd & Titak Inc. purchased a new position in shares of SpaceX in the second quarter worth approximately $89,000.

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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