SpaceX Stock Jumps 5% as Morgan Stanley Calls $300 Target ‘Cheap’

SPCX shares jumped about 5.3 percent to roughly $167.37 in early trading on Monday, October 5, after Morgan Stanley analyst Adam Jonas reiterated his Outperform rating and a $300 price target, saying the stock looks cheap ahead of Starship Flight 15.

The note, titled “SPCX $159: Cheap and Getting Cheaper,” was published Sunday, October 4, and takes its name from where the shares closed before Monday’s rally. Jonas said a sum-of-the-parts valuation suggests investors are fully valuing SpaceX’s space and connectivity businesses while assigning little value to its AI opportunity, from compute deals to chipmaking and other AI efforts. “We think that over the next few weeks (ahead of Starship Flight 15), investors can take advantage of a unique opportunity to buy shares that look unusually cheap,” he wrote.

Jonas pointed to several potential catalysts, including future AI product releases, continued Starship progress and more neocloud contracts priced at $30 to $50 per watt. He called them “upside-skewed catalysts that can push the stock closer to our $300/share price target.”

Starship is a major part of that thesis. Flight 14 reached low Earth orbit for the first time and deployed 26 Starlink V3 satellites, a milestone SpaceX later recapped in detail, and Flight 15 is expected within the next few weeks, giving investors another near-term event to watch.

SpaceX is also developing Star Mind satellites that will pack more than 250 kW of solar power for orbital computing, one of the product lines behind Jonas’s AI outlook.

Yahoo Finance reporter Pras Subramanian covered the Morgan Stanley call on Monday, October 5. SPCX shares, which carry a market value of roughly $1.5 trillion, have moved sharply around Starship milestones before, and Monday’s reaction shows investors remain focused on whether the company can keep delivering on both its launch and AI plans.