SpaceX stock slipped about 1% in overnight trading late Tuesday. This came right after CEO Elon Musk said AI could bring in up to $500 billion a year for the company. SPCX shares had already
SpaceX stock slipped about 1% in overnight trading late Tuesday. This came right after CEO Elon Musk said AI could bring in up to $500 billion a year for the company.
SPCX shares had already dropped 4% on Tuesday. The stock closed at $133.29.
Musk also said AI could make up 99% of SpaceX's total value within four to five years. That is a bold claim for a company known for rockets.
The dip came even as good news piled up. That is often how markets work. Traders sell first and ask questions later.
Shares had already given back gains from a three-day rally earlier in the week.
Musk told staff in a recent all-hands meeting that AI revenue will beat every other SpaceX business line. He said this could happen as soon as September.
By the fourth quarter, he expects AI to "significantly exceed" the rest of the company's income. That includes rockets, Starship, and Starlink combined.
SpaceX already runs 1.4 gigawatts of AI computing power. Its data centers sit in Memphis and Southaven.
The company wants to reach 10 gigawatts by the end of 2027. That scale could bring in $300 billion to $500 billion in yearly revenue, based on Musk's own numbers.
A separate filing on Tuesday added more noise to the stock. Longtime Musk ally Antonio Gracias disclosed his holdings.
Gracias owns 503.4 million SpaceX Class A shares. That works out to 6.5% of the class, held through 30 different Valor-linked entities.
No single Valor entity owns 5% or more on its own. The filing grouped them together because of Gracias's role across those entities.
Gracias founded Valor Equity Partners and has backed Musk for more than two decades. He was an early SpaceX investor and sits on the company board.
Norway's sovereign wealth fund also revealed a stake this week. It holds 0.05% of SpaceX, worth about $1.22 billion as of June 30.
What is the Cursor acquisition and why does it matter?Morgan Stanley kept its price target at $300 for SpaceX stock. The bank's bull case sits at $600 per share.
This follows SpaceX's planned $60 billion acquisition of Cursor, an AI coding platform. The deal is expected to close in the third quarter of 2026.
Cursor is used by more than 64% of Fortune 500 companies. It also serves over 50,000 businesses worldwide.
Morgan Stanley expects Cursor's annual recurring revenue to hit $8 billion by year-end. That figure could climb to around $33 billion by 2030, the bank says.
Metric
Estimate
Cursor ARR (end of 2026)
$8 billion
Cursor ARR (2030)
~$33 billion
Cursor revenue contribution to SPCX (2026)
$2.5 billion
Cursor revenue contribution to SPCX (2027)
$13 billion
Morgan Stanley base target
$300
Morgan Stanley bull case
$600
Analysts are also watching a few near-term events. These include Q3 earnings disclosures, the Grok 4.6 and 4.7 model rollouts, a possible Grok 5 launch, and a potential Composer 3 model.
SPCX stock chart analysis: what do the technicals show?On the daily chart, SPCX stock ran into resistance near the top Bollinger Band. That is often a sign buyers are getting tired, at least for now.
Looking back, the stock built a base around $104 to $105. From there it staged a strong recovery and broke above its short- and medium-term moving averages.
The stock now trades near $133.29. That price sits right at the $133.36 Fibonacci retracement level, marked at the 0.236 ratio.
This level matters. Holding above it would keep the recent pattern of higher highs and higher lows intact.
Key support and resistance levelsLevel Type
Price Zone
Significance
Immediate resistance
$140
Next upside target
Major resistance
$151
Key Fibonacci level
Immediate support
$130–$133
Must hold for bullish setup
Weaker support
$123–$125
First downside target on a break
Stronger downside risk
$110–$115
If selling accelerates
The Relative Strength Index sits around 60. That points to moderately bullish momentum without flashing an overbought warning yet.
Is SpaceX stock a buy right now?If SPCX holds the $130 to $133 zone, the setup favors more upside. The next stop would likely be $140, followed by the bigger test near $151.
A clean break below $130 would weaken that picture. In that case, a slide toward $125 to $123 becomes more likely.
A deeper break could open the door to $115 or even $110 if sellers take control. That is the scenario bulls want to avoid.
None of this is guaranteed. SPCX stock is a new listing, and new listings tend to swing hard in both directions as the market figures out fair value.
The AI story adds a fresh layer to the SpaceX stock price prediction. Investors are no longer just pricing in rockets and satellites. They are also pricing in a fast-growing AI and coding business tied to Grok and Cursor.
That mix cuts both ways. It can lift the stock quickly on good news, but it can also add volatility when AI headlines disappoint.
DisclaimerThis article is for informational purposes only and does not constitute financial, investment, or trading advice. Prices can be volatile, especially for recently listed companies. Always do your own research and consult a licensed financial advisor before making investment decisions.
