Korean Individual Investors Investing in Overseas Stocks Bought the Most SpaceX This Month

Buying by Korean individual investors investing in overseas stocks has intensified as SpaceX shares have rebounded nearly 30% this month. Expectations are rising that the company will be revalued on hopes for its artificial intelligence (AI) business, but the cash flow burden from aggressive investment is seen as a factor that could increase stock volatility going forward.
According to Korea Securities Depository (KSD) on the 17th, the stock that domestic investors net bought the most in the first half of this month (Aug. 3-14) was SpaceX, with a total net purchase of US$187.88 million, or about 266.2 billion won. Buying accelerated as the stock recently showed a rebound. SpaceX shares, which had fallen below the IPO price of $135 and dropped to $108.37 on July 31, rose to $140 on Aug. 14, gaining 29.2% so far in August.
The rally has been driven by expectations for the AI business. Elon Musk, SpaceX's Chief Executive Officer (CEO), recently told employees at an internal meeting, "AI is a very important part of SpaceX's future," and predicted that "next month, AI revenue will exceed the combined revenue of all the other business segments."
SpaceX's main source of revenue is currently its communications business, led by Starlink. In the second quarter, the communications segment accounted for more than half of SpaceX's total revenue at US$4.29 billion. However, AI revenue also surged 248% from a year earlier to US$2.56 billion, quickly emerging as a new growth engine.