{"id":64370,"date":"2026-07-07T10:08:19","date_gmt":"2026-07-07T14:08:19","guid":{"rendered":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/bofa-initiates-spacex-spcx-with-buy-rating-and-235-target-as-wall-street-quiet-period-ends\/64370\/"},"modified":"2026-07-07T10:08:19","modified_gmt":"2026-07-07T14:08:19","slug":"bofa-initiates-spacex-spcx-with-buy-rating-and-235-target-as-wall-street-quiet-period-ends","status":"publish","type":"post","link":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/bofa-initiates-spacex-spcx-with-buy-rating-and-235-target-as-wall-street-quiet-period-ends\/64370\/","title":{"rendered":"BofA Initiates SpaceX ($SPCX) with \u2018Buy\u2019 Rating and $235 Target as Wall Street Quiet Period Ends"},"content":{"rendered":"<h2>Key Takeaways<\/h2>\n<ul>\n<li><strong>BofA Global Research<\/strong> initiated coverage on <strong>SpaceX<\/strong> (<a href=\"\/stock\/SPCX\">SPCX<\/a>) with a <strong>Buy<\/strong> rating and a <strong>$235 price target<\/strong>, representing a potential <strong>46% upside<\/strong> from the current share price of <strong>$160.42<\/strong>.<\/li>\n<li>The rating comes as the <strong>25-day post-IPO quiet period<\/strong> officially expires for the underwriters of the company\u2019s historic <strong>$86 billion initial public offering<\/strong>.<\/li>\n<li>Analysts highlight <strong>SpaceX\u2019s<\/strong> transition from a launch provider to the &quot;foundational enabler&quot; of the <strong>global space economy<\/strong>, driven by the rapid scaling of <strong>Starlink<\/strong> and <strong>AI infrastructure<\/strong>.<\/li>\n<li><strong>SpaceX<\/strong> (<a href=\"\/stock\/SPCX\">SPCX<\/a>) recently joined the <strong>Nasdaq-100<\/strong> index, further cementing its status as a mega-cap growth leader following its <strong>June 12, 2026<\/strong> market debut.<\/li>\n<\/ul>\n<h2>Wall Street Launches Bullish Coverage<\/h2>\n<p><strong>BofA Global Research<\/strong> analyst <strong>Ronald Epstein<\/strong> led a wave of bullish sentiment on Tuesday, initiating coverage of <strong>Space Exploration Technologies Corp.<\/strong> (<a href=\"\/stock\/SPCX\">SPCX<\/a>) with a high-conviction <strong>Buy<\/strong> rating. The firm\u2019s <strong>$235 price target<\/strong> is based on a long-term discounted cash flow analysis that views the company as a unique planetary infrastructure play.<\/p>\n<p>The initiation follows the expiration of the mandated quiet period for banks that underwrote the company&#39;s <strong>$135-per-share IPO<\/strong>. While <strong>BofA<\/strong> is optimistic, other major firms have set even higher bars; <strong>Morgan Stanley<\/strong> (<a href=\"\/stock\/MS\">MS<\/a>) analyst <strong>Adam Jonas<\/strong> established a Street-high target of <strong>$300<\/strong>, suggesting the company could eventually reach a <strong>$3.3 trillion valuation<\/strong> by 2040.<\/p>\n<h2>Starlink and AI Infrastructure Drive Growth<\/h2>\n<p>A central pillar of the <strong>BofA<\/strong> thesis is the vertical integration of <strong>Starlink<\/strong>, which now serves over <strong>10.3 million subscribers<\/strong>. The satellite broadband segment is viewed as a high-margin &quot;utility&quot; that anchors the company\u2019s <strong>$19.3 billion in trailing twelve-month revenue<\/strong>.<\/p>\n<p>Beyond connectivity, analysts are increasingly focused on <strong>SpaceX\u2019s<\/strong> expansion into <strong>AI compute<\/strong>. Following the company\u2019s recent <strong>$60 billion acquisition of Cursor<\/strong>, firms like <strong>William Blair<\/strong> and <strong>Goldman Sachs<\/strong> (<a href=\"\/stock\/GS\">GS<\/a>) believe <strong>SpaceX<\/strong> is uniquely positioned to provide low-cost, space-based AI infrastructure for hyperscalers like <strong>Google<\/strong> (<a href=\"\/stock\/GOOGL\">GOOGL<\/a>) and <strong>Anthropic<\/strong>.<\/p>\n<h2>Market Performance and Financial Outlook<\/h2>\n<p>Despite the flurry of <strong>Buy<\/strong> ratings, <strong>SpaceX<\/strong> (<a href=\"\/stock\/SPCX\">SPCX<\/a>) shares have seen volatility since their mid-June peak of <strong>$211.39<\/strong>, currently trading roughly <strong>25% below<\/strong> those highs. However, financial projections remain aggressive, with Wall Street forecasting <strong>95% revenue growth<\/strong> for the current fiscal year as <strong>Starship<\/strong> begins regular commercial operations.<\/p>\n<p>While the majority of the Street is bullish, some firms remain cautious. <strong>MoffettNathanson<\/strong> initiated with a <strong>Neutral<\/strong> rating and a <strong>$131 target<\/strong>, citing concerns over the massive capital expenditures required to maintain the <strong>Starlink<\/strong> constellation and the pending <strong>$22 billion spectrum acquisition<\/strong> from <strong>EchoStar<\/strong>.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Key Takeaways BofA Global Research initiated coverage on SpaceX (SPCX) with a Buy rating and a $235 price target, representing 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