SpaceX: Looking For A Bottom

Space Exploration Technologies Corp. faces Q2 earnings with a stretched $1.4T valuation and shares below IPO price. Current revenue growth expectations hinge on short-term, high-value AI compute deals with Anthropic and Google, both cancellable on short notice. Consensus analyst estimates require SPCX to nearly triple revenues by Q4, but sustainability of AI contracts and long-term growth remain uncertain. The stock faces accelerated IPO lockup expirations post-Q2 earnings likely pressuring shares further; I remain bearish and recommend waiting for a bottom.

Space Exploration Technologies Corp. ( SPCX ) enters Q2 earnings in a precarious position. The stock hit hyped market valuations topping $2 trillion and approaching $3 trillion, yet public market reality hit the investors chasing the IPO open higher.