SpaceX Falls Below Its $150 Opening Price One Month After Listing

[Financial News]  

SpaceX, Elon Musk's space development company, fell below $150 on the 8th local time. That means the stock slipped under the $150 opening price set on its first day of trading after the initial public offering (IPO) on June 12 last month.
In particular, SpaceX fell for two straight sessions after being added to the Nasdaq-100 Index. Wall Street investment banks had rushed out upbeat research reports, but they failed to stop the decline.
SpaceX closed at $148.26, down $1.17, or 0.78%, on the day.
On June 12, its first trading day after the IPO, SpaceX opened at $150 and ended its debut session at $160.95.
The stock fell for two days after its inclusion in the Nasdaq-100 Index, which is generally seen as a positive catalyst. When a company is added to the Nasdaq-100, which consists of 100 major technology stocks, index funds and exchange-traded funds (ETFs) that track it must buy the shares, raising expectations for a stock price gain.
On the day it joined the Nasdaq-100, major Wall Street investment banks mostly issued optimistic outlooks.
Raymond James, which gave the stock a "strong buy" rating, set a one-year target price of $800. Morgan Stanley ($300), Bernstein ($239), RBC ($225), and UBS ($210) also projected further gains.
They praised SpaceX's reusable rocket technology, launch services, and its broad Starlink satellite internet business. They were also positive about the company's space artificial intelligence (AI) plans.
They said SpaceX could potentially build AI agent capabilities through a low-Earth orbit (LEO) AI data center that would rival Anthropic's Claude or OpenAI's Codex.
By contrast, MoffettNathanson assigned a "neutral" rating and a target price of $131. It criticized SpaceX's outlook as overly optimistic and called its space AI data center plan "absurd."
CFRA went further and issued a "sell" rating.

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