Elon Musk’s grand ambition of deploying a fully reusable spacecraft has just passed its most significant milestone. Will this achievement propel SpaceX stock to astronomical heights — or even to Mars?
Completing its most crucial flight to date, Starship achieved orbit and made an intact return on Monday, executing a splashdown in the Pacific Ocean.
The mission directly reinforced the core argument for SpaceX’s bull market: if the Starship vehicle can achieve frequent reusability, the company will be capable of delivering payloads and satellites at significantly reduced expenses.
Such potential has sustained some remarkable market valuations. Cathie Wood, as an illustration, has suggested that a valuation of $1.75 trillion for SpaceX might appear inexpensive if Starship operates successfully at scale.
Despite this, why did the share price decline?
Why SpaceX Stock Dropped After Starship’s Success
Shortly before the company verified the completion of the splashdown, SpaceX shares changed hands at approximately $147.29 at noon ET, registering a 0.93% drop.
Fundamentally, the flight was a success. Starship climbed to an altitude of roughly 170 miles above the planet, successfully released 26 Starlink V3 satellites, and endured atmospheric reentry before executing an upright maneuver to land in the sea.
Instead, market dynamics surrounding the stock appeared to create the downward pull.
Following the expiration of SpaceX’s post-IPO lockup on September 24, approximately 328 million shares unlocked for trading, introducing the possibility of increased selling pressure. Furthermore, company President Gwynne Shotwell recently offloaded $52.5 million worth of shares via a pre-arranged trading schedule.
In essence, positive operational news from Starship arrived while the market was already absorbing a significantly higher volume of available shares.
What’s Next for SpaceX Stock?
At present, market participants seem to have their attention fixed on the $150 threshold.
Data from OptionCharts indicates that roughly 22,700 call contracts are active at that specific strike price ahead of Friday’s expiration. Meanwhile, put options are largely clustered near the $140 level.
Wall Street opinion remains split. MoffettNathanson maintains a Neutral stance alongside a $142 price target, whereas the consensus analyst target sits at $222.42.
With Starship clearing a major technological hurdle, the upcoming debate centers on whether the current market valuation has already accounted for this triumph.