SPCX stock rose nearly 5% in premarket trading on Thursday after Bernstein raised its price target on SpaceX, even as more than $100 billion worth of previously locked shares became eligible
SPCX stock rose nearly 5% in premarket trading on Thursday after Bernstein raised its price target on SpaceX, even as more than $100 billion worth of previously locked shares became eligible for trading. The lock-up expiration more than doubled the company's public float, increasing the number of tradable shares and adding fresh attention to potential insider selling.
The latest development followed SpaceX's first public quarterly earnings report, which exceeded Wall Street expectations on revenue while continuing to reflect heavy investment in artificial intelligence infrastructure and future growth projects.
SpaceX Lock-Up Expiration Expands Tradable FloatMore than 911 million previously restricted SpaceX shares became eligible for public trading after the company's first major post-IPO lock-up expired. Before the unlock, the public float stood at about 639 million shares. The latest release increased the float by roughly 140%.
The unlocked shares represent more than $100 billion in stock held by early employees and pre-IPO investors. While the shares are now eligible for sale, holders are not required to sell immediately.
Elon Musk's personal holdings remain subject to a separate lock-up schedule that extends until June 2027. The latest unlock marks the first phase of a broader release plan that will continue through December 2026.
The timing coincides with increased investor attention following the company's first public earnings report. A larger tradable float could reduce the scarcity that supported the stock after its listing while increasing daily trading activity.
Bernstein Raises Price Target After Earnings BeatBernstein maintained its Outperform rating on SpaceX and increased its price target to $248 from $239. The firm cited stronger revenue expectations and improving compute pricing following the company's second-quarter results. The new target suggests more than 129% upside from recent trading levels.
SpaceX reported second-quarter revenue of $7.81 billion, up 92% from a year earlier. Net loss narrowed to $541 million, showing improved operating performance despite elevated spending on AI infrastructure and expansion projects.
Bernstein has continued to identify the Starship program as a major contributor to SpaceX's long-term valuation. The firm also believes investors remain focused on future growth rather than near-term spending.
Not every analyst shared the same view. Piper Sandler lowered its price target to $140 from $156 while maintaining that execution challenges could limit upside despite Elon Musk's long-term revenue targets.
Mobile Expansion and Public Debate Draw AttentionSpaceX is also expanding into mobile communications after acquiring additional wireless spectrum and outlining plans for hybrid ground infrastructure alongside Starlink. The company aims to combine terrestrial base stations with satellite connectivity to support mobile services.
The announcement prompted mixed reactions across the telecommunications sector as investors evaluated the company's long-term competitive position. Some wireless stocks declined following the announcement while analysts remained divided over the pace and feasibility of the rollout.
Public discussion also intensified after a Bloomberg opinion article questioned SpaceX's mobile strategy. Eric Trump responded on social media, writing that ”SpaceX launched ~80-85% of ALL mass to orbit in 2025” while adding that ”One private company outpaced the rest of Earth.” Elon Musk later posted that ”Bloomberg is garbage.”
Despite the larger share unlock and differing analyst views, Bernstein's higher price target and SpaceX's strong quarterly revenue growth helped support premarket gains as investors weighed long-term growth against increased selling pressure from newly tradable shares.
