HSBC initiated coverage of SpaceX with a hold rating and $115 price target on Thursday, matching the stock's close as the rocket maker continues to falter after its June public listing.
Shares have erased more than $1.2 trillion in market capitalization since hitting a post-IPO high of $225.64, falling for 13 of the last 16 sessions and trading well below the $135 offering price. The slide comes ahead of the company's first quarterly earnings report on August 4, after which insiders will be permitted to sell up to 911.5 million shares.
Despite the selloff, nearly 80 percent of analysts recommend buying, with an average price target near $235. Cathie Wood's Ark Invest purchased $21.3 million in shares during the decline. HSBC's optimistic scenario values SpaceX at $293, contingent on Starship achieving commercial viability in 2027, while Morgan Stanley projects revenue climbing to $319 billion by 2030 from roughly $19 billion currently.