Analysts Say Starship Reusability Is Key to SpaceX Stock’s Next Leg Higher

Wall Street analysts say SpaceX’s path to a much higher valuation hinges almost entirely on solving Starship reusability, the ability to fly each vehicle 20 to 50 times with fast, inexpensive refurbishment between launches. One analyst initiating coverage with a Buy rating and $220 price target said cracking this problem could push launch costs down to levels comparable to terrestrial freight, unlocking a far larger addressable market.

Starlink’s Future Tied to Rocket Progress

That opportunity extends to Starlink, which could capture meaningful share of the wireless industry and function as something close to a space-based monopoly, with rivals potentially paying SpaceX for access. Analysts note that broader debates around AI ventures and Starlink’s growth only matter once Starship reusability is proven out.

Stock Recovers From Post-IPO Lows Despite Mixed Financials

SpaceX shares have climbed off an early August low near $105 to trade above $150 recently, though still well below their record high hit shortly after the company’s June public debut. The company posted a significant loss in its first earnings report as a public company and spent far more on capital expenditures than analysts expected, without offering specific full-year guidance. Even so, the majority of Wall Street analysts maintain bullish ratings on the stock.