SPCX
Not just rockets anymore
Wedbush’s Dan Ives took a swing at the SpaceX story on Tuesday, arguing the newly public Elon Musk-led company should be viewed less like a classic space shop and more like an AI infrastructure platform. That’s a pretty big narrative upgrade — from launching stuff into orbit to potentially becoming a hyperscaler with compute at the center.
The valuation hang-up
Of course, there’s a catch: SpaceX still looks pricey if you squint at current revenue and try to force it into an old-school spreadsheet. But Ives’ pitch is basically, “Stop staring at today’s numbers like they’re the final boss.” If SpaceX executes over the next two to three years, he says the market could start valuing it more like one of the best AI plays around.
Why traders are listening
Wedbush initiated coverage with an Outperform rating and a $190 price target, which implies about 16% upside from the prior close. That doesn’t mean the stock suddenly becomes cheap — it means Wall Street is arguing about what the company even is now.
Meanwhile, Ives also used the moment to double down on the broader AI trade, naming Microsoft, Oracle, Palantir, and Alphabet as areas of focus. Translation: if the second-half tech rally has a playlist, SpaceX is trying to add a new genre.
Big picture
For investors, the real takeaway is that SpaceX is becoming a story about optionality, not just revenue. If the AI thesis catches on, the company could graduate from “cool but complicated” to “everybody wants a piece of it,” which is usually when valuation arguments get a lot louder.