Morgan Stanley Reveals Why SpaceX Stock Price May Rally to $300

The SpaceX stock price has continued to stay in the red, despite a flurry of bullish outlooks for the SPCX stock. Notably, it appears that today’s decline was mostly due to a selloff recorded in the broader financial markets, after the US CPI inflation data exceeded Wall Street forecasts.

Despite that, the market pundits have remained bullish on the SpaceX stock price. Recently, Morgan Stanley has reiterated its $300 price target for SPCX stock and cited key reasons that may help drive the price higher in the near future.

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Morgan Stanley Remains Bullish on SpaceX Stock Price, Here’s Why

The SpaceX stock price fell around 1.5% at the time of writing to $154.16, while losing more than 8% over the past five trading sessions. However, the dip today in SPCX stock price came amid a selloff recorded in the broader financial sector, especially after the hotter-than-expected US CPI data weighed on market sentiment.

Despite that, Morgan Stanley has remained bullish on Elon Musk’s space technology firm, while reiterating its $300 price target for the asset. According to a recent X post from Walter Bloomberg, Morgan Stanley believes investors may be underestimating SpaceX’s ambitions beyond rockets and satellite communications.

Analyst Adam Jonas has reiterated an Overweight rating for the company. His outlook highlights the potential of distributed AI computing as a major growth catalyst. Jonas sees a Distributed Inference Cloud as a potentially overlooked part of SpaceX’s business.

The proposed concept would connect computing resources across networks of AI agents and intelligent robots. Such infrastructure could help machines share computing capabilities and coordinate tasks more efficiently.

Meanwhile, Jonas views SpaceX as a vertically integrated infrastructure company rather than simply a space exploration business. Its operations span rocket launches, launch facilities, ground stations, satellites, solar technology, and data centers. The company is also pursuing telecommunications opportunities and developing AI capabilities.

This broad strategy could give SpaceX several interconnected revenue streams. Its infrastructure could support growing demand for connectivity, computing power, and autonomous technologies. Jonas expects distributed AI and robotic networks to attract greater investor attention over the coming year.

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Ron Baron Predicts SPCX to Reach $50 Tln Valuation

Amid the bullish outlook from Morgan Stanley, Baron Funds founder Ron Baron has further fueled optimism with his latest comments. Baron believes the company could achieve a valuation between $20 trillion and $50 trillion within a decade. He has also indicated that Elon Musk considers his projections conservative.

Baron identifies Starlink as a major contributor to this potential expansion. He estimates the satellite internet business alone could eventually be worth approximately $14 trillion to $15 trillion.

He also sees significant potential in space-based data centers. These facilities could become another major business if technological and economic challenges prove manageable.

It’s worth noting that a flurry of other market experts have also remained bullish on SpaceX stock price. For context, Pivotal Research has recently raised its target for SPCX stock from $220 to $230, citing its long-term confidence in the asset.