SpaceX Receives Outperform Rating from Wedbush with 190 Dollar Price Target

Wedbush has commenced coverage of SpaceX Corp with an outperform rating and a price target of 190 dollars per share, representing a potential upside of approximately 16 per cent from the previous day’s closing price of 163.33 dollars. The brokerage’s assessment positions the company as an emerging hyperscaler rather than merely a launch services provider.

Dan Ives and his team at Wedbush characterise SpaceX as comprising three vertically integrated business segments: the Starlink connectivity platform, the Starship launch capability, and an artificial intelligence division centred on Colossus compute clusters and the Grok model. The Starlink operation represents the primary driver of profitability, serving approximately 12 million subscribers as of early June with average revenue per user estimated at 66 dollars across both enterprise and consumer segments. Wedbush calculates that SpaceX currently commands less than 1 per cent of the global telecommunications and broadband market, suggesting substantial scope for further expansion.

The analysts note that SpaceX raised approximately 86 billion dollars through its initial public offering, with roughly one fifth allocated towards artificial intelligence infrastructure development. This capital is deemed sufficient to address near-term requirements whilst the company manages its existing debt obligations. Wedbush anticipates additional financing rounds will materialise given the scale of the company’s artificial intelligence ambitions.

Reusability remains central to SpaceX’s strategic advantage, according to the research note, reducing hardware expenditure whilst creating operational efficiencies that enable increased flight frequency without proportional capital investment. The new generation Starship vehicles are expected to transport approximately 60 Starlink satellites per launch, more than double the 27 carried by Falcon 9 rockets. The analysts contend this capacity makes Starship essential not only to the launch business but also to the broadband and orbital computing initiatives underpinning the company’s broader strategy.

Wedbush’s 190 dollar price target derives from a sum of the parts valuation methodology based on fiscal year 2028 projections, implying an enterprise value of approximately 2.48 trillion dollars. The connectivity segment receives a 17 times revenue multiple, reflecting its high margin profile and recurring subscriber revenues. The artificial intelligence and compute business commands the highest multiple at 22 times, supported by contracted compute capacity with Anthropic, Google and Reflection AI generating an annualised run rate of roughly 28 billion dollars. The space segment carries the lowest multiple at nine times given its capital intensive nature and more variable earnings profile.

The analysts explicitly exclude several potential value drivers from their base case assessment, including launch economics below 200 dollars per kilogram, orbital data centres and enterprise artificial intelligence monetisation. These elements are treated as optionality rather than core valuation components given the execution challenges that remain, including Starship’s need to demonstrate orbital payload delivery, upper stage recovery and in orbit propellant transfer capabilities.

Wedbush has established a bull case scenario with a price target of 235 dollars and a bear case at 135 dollars per share.