SpaceX Stock Eyes Starship Test as Musk Raises AI Ambitions

SpaceX stock traded near $148 as investors assessed developments across artificial intelligence and Starlink. SPCX remained below this week’s high near $157 after several sessions of sideways trading.

Elon Musk also raised expectations for SpaceXAI, saying its models could approach leading systems within months. Meanwhile, SpaceX scheduled Starship Flight 14 for Sept. 28, creating another near-term operational event.

SpaceX Stock Watches Musk’s AI Forecast

In a statement this week, billionaire Elon Musk predicted that Grok, his AI platform, will soon have the most advanced models in the AI industry. He believes that it will pass models made by companies like Anthropic and OpenAI, which are leading the industry.

His statement comes at a time when Grok has lagged behind these peers in terms of market share and development. An LLM ranking shows that Anthropic has the most advanced AI models im the world. It is followed by OpenAI and Meta Platforms, with Meta’s Muse gaining market share this month.

The most advanced Grok model has a context window of just 500k, much smaller than that of other models, including those from companies like Xiaomi, Alibaba, and Google. This is one reason why Grok’s market share remains below 20% in the AI space.

Elon Musk has positioned SpaceX has a vertically integrated company in the AI space. He is working on Terafab, a large semiconductor manufacturing plant in Texas. In addition to Grok, the company is offering computing solutions to other companies in the AI space.

It recently inked a $1.1 billion a month deal with an unnamed company. On top of this, it has inked deals with companies such as Google, Reflection AI, and Anthropic that pay it billions of dollars a month.

The most recent results showed that its AI business is thriving, with its total revenue surging to over $2.56 billion, up from $818 million in the same period last year. This growth will continue as more companies take advantage of its business.

This trend explains why analysts are bullish on the company, with Wells Fargo raising its target to $212 and Pivotal Research raising its target to $220.

SpaceX is Betting on Upgraded Starlink

Meanwhile, the company is betting on an upgraded Starlink product to grow its sales. In its last results, the firm said that its connectivity revenue jumped to $4.29 billion from $3.2 billion as the number of customers rose to over 12 million.

SpaceX is now betting on the third version of its Starlink satellites to boost its network and possibly attract more customers. It will conduct a major test aboard its Starship product next week.

This test comes after Poland said that a Starlink satellite station in the country suffered a fire attack in a deliberate act of sabotage. The country warned that the sabotage likely came from Russian entities as it attempts to disrupt service to Ukraine. In a separate statement, Denmark said that Russia was considering hybrid attacks, a move that may impact SpaceX.

SpaceX Stock Price Technical Analysis

The two-hour chart shows that SPCX stock has been moving sideways over the past few days. This consolidation is happening after it found substantial resistance at $157.60.

The stock has now slipped below the ascending trendline that links the lowest levels since August 20th this year. It has also moved to the lower Bollinger Band.

The Relative Strength Index (RSI) has moved downwards. Therefore, the stock will likely remain under pressure before rebounding. This retreat may see it drop to $125 and then rebound to a record high.