Shares of Space Exploration Technologies Corp.
(NASDAQ:SPCX) rose 1.14% to $156.37 in premarket trading on Tuesday, following a cautious "Neutral" rating from Susquehanna International Group, LLP analyst Charles Minervino, who advised that he "would recommend waiting for a better entry point on the stock." Premium Valuation Risks This choppy pre-market action follows Monday's staggering 16.43% sell-off, which erased more than $400 billion from the space giant's market capitalization as retail hype faces a sharp public market reality check.
Susquehanna initiated coverage on the newly public company with a $170 price target, representing a modest 9.96% projected upside from current levels.
Despite forecasting a massive 81% revenue CAGR and a 76% adjusted EBITDA CAGR for the 2025–2028 timeframe, Minervino flagged significant embedded risks.
"We believe the current valuation requires premium multiples on very aggressive revenue and EBITDA growth assumptions," the firm noted.
