Susquehanna has initiated coverage of SpaceX shares with a “Neutral” rating and a $170 price target. The firm anticipates annual revenue growth of 81% and annual EBITDA growth of 76% on average through 2028.
In the analyst note, SpaceX’s strong position in the rocket launch market and its growing global connectivity business via Starlink were cited as the company’s key competitive advantages. Susquehanna pointed out that Starlink is a significant revenue source with high growth potential for it.
However, the firm stressed that the current valuation of SpaceX shares requires high multiples based on fairly aggressive revenue and EBITDA growth assumptions. According to Susquehanna, some of the markets in which the company operates remain relatively unproven, and therefore there is a wide range of possibilities regarding future expectations.
Susquehanna said it sees significant risks to future expectations for SPCX shares due to these uncertainties and advised investors to wait for a better entry point.
SpaceX’s stock price has fallen below its IPO price
In early trading following the report, SpaceX shares fell by $4.79—or about 3 percent—to $149.81. The stock thus dropped below the $150 level at which it opened on June 12.
The assessment of SPCX came on the heels of a notable new agreement the company signed in the field of AI infrastructure. According to documents reviewed by CNBC yesterday, it signed a computing power agreement with the open-source AI startup Reflection AI.
Under the agreement, Reflection AI reportedly agreed to pay SpaceX $150 million per month from July 1, 2026, through 2029. If the contract remains in effect until its expiration, the total payment amount will reach approximately $6.3 billion. However, according to the report, either party may terminate the agreement by providing 90 days’ notice after the first three months.
