As Space Exploration Technologies Corp. (NASDAQ: SPCX) shares continue to cool after their post-IPO rally, KeyBanc has initiated coverage of SpaceX stock for the next 12 months.
On June 22, KeyBanc initiated coverage of SpaceX stock with a Sector Weight rating. However, the firm’s analyst did not provide a specific price target for SPCX stock.
KeyBanc’s Sector Weight rating is a neutral stance indicating that the analyst expects the stock to perform in line with its sector peers over the next 6 to 12 months. The firm views SpaceX as a dominant leader in space launches, with Starlink driving profitable growth and AI as a long-term upside driver.
“The company is positioned to remain the ‘dominant leader’ in space launch and space-adjacent verticals for the foreseeable future,” KeyBanc noted.
What’s the SpaceX stock average forecast?
The latest coverage of SpaceX stock follows a recent Sell rating from CFRA analyst Keith Snyder, as Finbold reported. CFRA, however, highlighted that the company’s current valuation already reflects a significant portion of its long-term optimism, thereby creating an unfavorable risk-reward ratio.
A similar stance was shared by KeyBanc’s analyst, who noted that the company’s significant disruptive growth avenues are already reflected in the stock’s current valuation, hence creating a balanced risk-to-reward ratio.
Nonetheless, SPCX stock received upgrade ratings last week from Andrew Beale at Arete and Timothy Horan at Oppenheimer. As such, the company’s stock has an average 12-month price target of $235.25 from five Wall Street analysts at the time of publication, according to data from TipRanks.
What’s the performance of the SPCX stock price?
SpaceX stock price has cooled from its initial bull rally after its record initial public offering (IPO). Notably, SPCX’s stock price initially rallied to about $225, closed last week at $185, and was at around $176.65 in pre-market trading, thus representing a 4.51% decline from the previous close and a 21.49% drop from its prior peak.
With SpaceX stock price having dropped over 10% from its peak, the company’s market cap hovered around $2.4 trillion.
