SpaceX (NASDAQ:SPCX) shares jumped roughly 13% Friday after Argus Research turned bullish on the economics of the company’s massive artificial intelligence buildout.
Argus analyst Steven Silver upgraded the stock to Buy from Hold with a $160 price target, saying the firm is “encouraged” by the rapid payback on SpaceX’s AI investments.
The call echoes CFO Bret Johnsen, who said on Tuesday’s earnings call the company is “getting less than a one-year payback” on AI compute spending.
Why The Upgrade Matters
Just two days earlier, investors punished SpaceX after its first earnings report as a public company revealed roughly $18.4 billion of second-quarter capital expenditures, with about $15.8 billion tied to AI infrastructure.
