SpaceX (NASDAQ:SPCX) Trading Down 16.4% – Here’s Why

SpaceX (NASDAQ:SPCX)’s stock price fell 16.4% during trading on Monday . The company traded as low as $154.00 and last traded at $154.60. Approximately 164,309,326 shares changed hands during mid-day trading, a decline of 32% from the average daily volume of 242,915,813 shares. The stock had previously closed at $185.00.

Key SpaceX News

Here are the key news stories impacting SpaceX this week:

• Positive Sentiment: SpaceX announced a major $6.3 billion compute deal with Reflection AI, creating a new recurring revenue stream for its AI/data-center business and reinforcing the company’s push beyond rockets and satellites. Reuters: AI startup Reflection signs computing power deal with SpaceX
• Positive Sentiment: The new bond sale is being framed by management as a way to refinance bridge debt and fund growth, while SpaceX also disclosed a very large cash balance, suggesting it has ample liquidity to keep investing in AI, satellites and launch capacity. Reuters: SpaceX launches notes offering, discloses cash balance
• Neutral Sentiment: KeyBanc initiated coverage with a cautious stance, but still acknowledged SpaceX’s disruptive growth potential; the note mainly kept the market focused on whether the stock’s valuation has outrun fundamentals. TipRanks: SpaceX Stock Down 3% as KeyBanc Starts Coverage with Neutral Rating
• Neutral Sentiment: Several articles highlighted that only a small portion of SpaceX shares are freely tradable and that major lockup dates are coming, which could increase volatility even if the long-term story remains intact. TipRanks: SpaceX Stock Key Lockup Dates Investors Need to Watch
• Negative Sentiment: Investors are reacting to a sharp re-rating after the IPO, with multiple outlets citing stretched valuation, fading momentum, and concerns that SpaceX may need more capital sooner than expected. MarketWatch: SpaceX already needs to raise more cash, and its stock is falling
• Negative Sentiment: MSCI reportedly gave SpaceX a poor ESG/governance score, adding another layer of skepticism around the stock’s risk profile and helping pressure shares. TipRanks: Why SpaceX Stock Is Sinking Today

Wall Street Analysts Forecast Growth

Several research firms have recently weighed in on SPCX. TD Cowen initiated coverage on SpaceX in a research note on Monday. They set a “buy” rating for the company. New Street Research upgraded SpaceX to a “strong-buy” rating in a research note on Thursday, June 11th. Cfra initiated coverage on shares of SpaceX in a research report on Friday, June 12th. They set a “sell” rating and a $115.00 target price for the company. KeyCorp assumed coverage on shares of SpaceX in a research note on Monday. They issued a “sector weight” rating for the company. Finally, Arete Research set a $401.00 price target on shares of SpaceX and gave the company a “buy” rating in a research report on Thursday. Two investment analysts have rated the stock with a Strong Buy rating, seven have assigned a Buy rating, three have given a Hold rating and two have issued a Sell rating to the stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $221.20.

SpaceX Stock Down 16.4%

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

Insider Transactions at SpaceX

In other SpaceX news, CEO Elon Musk sold 11,390 shares of the firm’s stock in a transaction on Thursday, April 2nd. The shares were sold at an average price of $105.32, for a total value of $1,199,594.80. Following the completion of the transaction, the chief executive officer directly owned 526,165,900 shares of the company’s stock, valued at $55,415,792,588. This trade represents a 0.00% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link.

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.