ARK Invest raised its position in SpaceX, snapping up over 124,000 shares valued at $14.1 million across multiple ETFs. This move comes just before the company’s first public earnings release on August 4 and a significant lock-up expiration, when nearly a billion shares will flood the market. Despite SpaceX shares trading below their IPO price of $135, Cathie Wood’s firm views this as a buying opportunity rather than a warning sign.
SpaceX Faces Critical Tests in August
Since going public in June, SpaceX’s stock has tumbled almost 49% from its peak near $225, currently hovering around $115. The upcoming earnings report and lock-up expiration will be key. The lock-up release often triggers volatility as early investors can sell their shares freely. Yet, Morgan Stanley’s analyst Adam Jonas remains bullish with a $300 price target, attributing much of SpaceX’s long-term value to its emerging AI ventures.
Expanding Beyond Rockets
SpaceX is no longer just a space company. It operates two AI-dedicated data centers called Colossus and plans to launch a cloud AI network orbiting Earth. This expansion taps into a $28.5 trillion total addressable market, where AI alone represents $26.5 trillion. ARK Invest’s internal models foresee SpaceX’s valuation climbing to $2.5 3.1 trillion within a decade, underscoring why Cathie Wood is doubling down despite recent market jitters.
This material is informational and not financial advice.
