After a significant slowdown in its September rally relative to the August rise, SpaceX (NASDAQ: SPCX) stock price shot up, and the equity is, in just five days, up another 15.55% to $171.09.
By press time on Tuesday, October 6, the rapid move that finally brought SPCX shares above their day-one range of between $150 and $160.95 appears driven by a series of incremental bullish developments rather than a single catalyst.
How SpaceX’s ‘super intelligence’ developments helped the rally
Indeed, Elon Musk’s newer public company has been making, for the time being, symbolic advancements in artificial intelligence (AI) as the firm agreed to adopt President Donald Trump’s change of the technology’s name to ‘super intelligence’ (SI) by renaming SpaceXAI to SpaceXSI.
Similarly, the world’s first trillionaire confirmed that the world’s largest chip foundry, the Taiwan Semiconductor Manufacturing Company (NYSE: TSM), is considering a collaboration on the Terafab plant in Texas – a joint project of Intel (NASDAQ: INTC), SpaceX, and Tesla (NASDAQ: TSLA).
Milestone Starship Flights strengthen SpaceX’s core business
Meanwhile, the AI, rocket, telecommunications, and social media company has also been ramping up operations in the core part of its business.
Specifically, after two successful Starship launches in July and September, SpaceX is preparing up to two additional tests – the Flight 15 and Flight 16 – in October, though only one is likely to happen within the next twenty-five days.
Elon Musk’s return to Trump Administration pushes Tesla and SpaceX shares higher
Another development that could have turned the stock market more bullish is Elon Musk’s return to the Trump Administration, as he is set to co-lead the Pentagon’s Project Meridian together with Newt Gingrich and Anduril’s Palmer Luckey.
This development could prove especially important considering SpaceX’s close collaboration – and dependence – with the Federal Government.
Analysts estimate SpaceX stock is headed for strong short and long-term rallies
The popular on-chain analyst Ali Martinez linked his October 5 X post about SPCX stock’s breakout – and Tesla shares’ attempt to break out – precisely to Elon Musk’s involvement with the U.S. military.
He also forecasted that SpaceX could rise another 5.21% to $180 as part of the ongoing rally and estimated that TSLA is targeting $450 if it rises above $400.
Lastly, along with setting a future price target, Morgan Stanley’s (NYSE: MS) note from Sunday that said SPCX is headed for $300 and is ‘both cheap and getting cheaper’ might have been another piece in the puzzle that proved to be the equity’s October bullish catalyst.
Featured image via Shutterstock
