SpaceX (SPCX) stock fell another 1.6% on Wednesday after closing about 1% lower Tuesday, extending a pullback even as analysts raised their expectations for the company’s artificial intelligence business.
The decline came as the broader market moved higher.
The S&P 500 rose 0.5%, while the Nasdaq Composite gained 0.4% and the Dow Jones Industrial Average added 390 points, or 0.7%, helped by gains in Nvidia and Johnson & Johnson.
Stocks have faced pressure in recent sessions as elevated bond yields and rising oil prices have renewed concerns about inflation.
The three major US indexes were nevertheless on track to snap a three-day losing streak.
Oppenheimer raises SpaceX price target
Oppenheimer raised its price target for SpaceX to $280 from $250 on Tuesday while maintaining an Outperform rating.
The revised target indicates an upside of around 100% from the stock’s current market price of around $139.
The firm highlighted SpaceX’s vertically integrated AI platform as a key differentiator, arguing that the company combines data, capital, access to GPUs through its relationship with Nvidia, and the ability to build infrastructure rapidly.
Oppenheimer also pointed to SpaceX’s acquisition of Cursor as a potential catalyst for its broader AI strategy.
The deal has strengthened the company’s agentic coding data and logic, with benefits expected across its AI platform, including Grok Bot and Grok 4.6. Further improvements are expected with Grok 5.0.
The firm said AI productivity and usage are running ahead of expectations for both SpaceX and the wider AI industry, although infrastructure remains a bottleneck.
The brokerage raised its long-term revenue estimates by about 10% on stronger AI compute pricing.
Higher capital spending could push that increase to roughly 20% over the longer term, according to the firm.
Bernstein sees AI becoming SpaceX’s biggest business
Bernstein SocGen Group reiterated its Outperform rating on SpaceX on Wednesday and maintained a $248 price target.
Analyst Douglas Harned expects SpaceX’s AI revenue to nearly quintuple to $115.1 billion in 2027 from $24.6 billion in 2026.
That would make AI the company’s largest revenue contributor in 2027.
Bernstein estimates SpaceX will generate $46.4 billion in total revenue in 2026, rising to $150.4 billion in 2027, with AI accounting for most of the increase.
The estimates underline how rapidly SpaceX’s valuation story is shifting beyond rockets, satellites and launch services toward AI infrastructure and computing.
Bernstein’s $248 valuation target also incorporates another longer-term growth avenue: orbital data centers.
Louisiana could become critical AI infrastructure
That thesis puts SpaceX’s future launch capacity at the center of its broader ambitions.
The company plans to build Starbase Louisiana across 125,000 acres, with construction expected to begin in 2027 and the first Starship launch targeted for 2029.
The site is planned to include at least 10 launchpads and eventually support more than 30 Starship flights per day.
Bernstein sees the facility as important infrastructure for SpaceX’s plans to deploy orbital data centers.
For investors, that creates a more complicated stock story than simply betting on Starship or Starlink.
SpaceX is increasingly being valued on the potential for an integrated AI infrastructure platform, with launch capacity, computing hardware, software and data all feeding into the same growth thesis.
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