Here’s How Much SpaceX Stock Is Expected to Move After Earnings

SpaceX is expected to report earnings tomorrow for the second time since its June IPO, with traders expecting a big move in the stock.

Based on current options pricing, SpaceX (SPCX) shares are expected to rise as much as 7.5% in either direction by the end of the week. A move of this magnitude from Monday afternoon’s level around $150 could see shares rise as high as $162, or fall as low as $139.

SpaceX shares have climbed about 11% from their IPO price, but remain well below the intraday record above $225 reached shortly after their IPO. The space, AI and social media company has recently made headlines for its moves to become a traditional wireless carrier, as well as speculation about a possible tie-up with Tesla and CEO Elon Musk’s pledge to give one of his SpaceX shares to every child in the United States over the next year.

Analysts at Yorkville Ives wrote Monday that they see SpaceX shares trading on “how quickly the AI ​​segment converts contracted computing into revenue,” and said investors will look for evidence that the company’s AI business can begin to pay for itself rather than being funded by cash flows generated by Starlink.

SpaceX is expected to report revenue of $12.84 billion, more than double the same period a year ago when SpaceX was still a private company. The company is expected to post its first profitable quarter, with earnings of 16 cents per share, according to Visible Alpha estimates.

Analysts are largely bullish on SpaceX stock, with nine of the 11 analysts tracked by Visible Alpha recommending to buy the stock, while the other two have neutral ratings. Their average price target of $279 would suggest over 85% upside from the stock’s recent levels.