TechFlow reports on July 20 that since SpaceX went public about a month ago, its stock price has been like a roller coaster. Although SpaceX once surged to $225 and then fell back to around $125, Morgan Stanley analyst Adam Jonas, who is responsible for long-term tracking and research of SpaceX, has set the baseline target price for the stock at $300 per share. This target implies huge upside potential, more than twice the current stock price. But such an ambitious target price depends on SpaceX being far more than just a space stock. It is essentially betting on a vertical integration.
Morgan Stanley expects that SpaceX will grow at an astonishing speed in the foreseeable future. The study assumes that SpaceX's revenue will grow from $18.7 billion in 2025 to $319 billion in 2030, and then to $3.3 trillion in 2040. Most of this growth comes from the artificial intelligence sector, with Morgan Stanley expecting SpaceX to build orbital infrastructure for global connectivity and AI.
Musk agrees with this. In the company's S-1 listing document, the potential market size is set at approximately $28.5 trillion, of which all but $2 trillion is related to AI. SpaceX plans to launch a large AI satellite constellation named "Starmind", essentially building data centers in orbit. The company hopes to launch its first batch of AI satellites using the "Starship" rocket as early as next year. (Jin10)
