Long

Rocket

Space

<h3 id="key-takeaways">Key Takeaways</h3>
<ul>
 <li>SPCX shares declined to $136.78 on Monday, barely holding above the $135 IPO level after reaching $225.64 in mid-June</li>
 <li>China successfully recovered a Long March rocket booster on July 10, sparking competitive fears in reusable space launch tech</li>
 <li>Cathie Wood’s ARK Invest acquired $21.3 million of SPCX shares Monday through three ETFs, after buying $52M the prior week</li>
 <li>An upcoming lockup expiration — unlocking 20% of shares post-August earnings — is creating downward pressure</li>
 <li>The company carries a valuation approaching 50x projected 2026 revenue with no expected profitability this year</li>
</ul>
<p>Space Exploration Technologies Corp. (SPCX) has witnessed a dramatic 40% decline from its June 16 peak of $225.64, settling at $139.14 on Monday — a downturn that’s captured significant market attention despite overwhelmingly positive analyst sentiment.</p>
<p><a href="https://knockoutstocks.com/stock/SPCX" rel="noopener noreferrer nofollow"><br><img src="https://knockoutstocks.com/api/stocks/SPCX/embed" alt="SPCX Stock Card"><br> Space Exploration Technologies Corp., SPCX<br></a></p>
<p>The aerospace company debuted at $135 per share on June 11, jumped to $150 within 24 hours, and climbed as high as $225.64 before entering a steep correction. Monday’s intraday low of $136.78 brought the stock perilously close to breaching its initial offering price.</p>
<p>Tuesday’s premarket session showed SPCX down an additional 0.4% to $138.61.</p>
<p>Yet analyst conviction remains strong: 80% maintain Buy ratings on the stock — significantly above the typical S&amp;P 500 consensus of 55%–60%. The mean price target hovers around $240, suggesting a potential market capitalization near $3.2 trillion.</p>
<p>Evercore ISI initiated coverage Tuesday with a Buy recommendation and $230 target. The market response was muted.</p>
<h3 id="chinese-reusable-rocket-breakthrough">Chinese Reusable Rocket Breakthrough</h3>
<p>On July 10, China demonstrated successful recovery of a Long March booster using a ship-based cable system — a notable achievement in reusable launch vehicle technology that caught investors’ attention. <a href="https://coincentral.com/spacex-spcx-stock-fall-despite-faa-approval-for-next-starship-mission/" rel="noopener noreferrer nofollow">SpaceX</a> has maintained unquestioned leadership in this critical competitive advantage, forming a cornerstone of the investment thesis.</p>
<p>This Chinese demonstration suggests the technological moat may be narrowing, despite SpaceX maintaining superior scale and operational capabilities.</p>
<h3 id="share-lockup-and-premium-valuation">Share Lockup and Premium Valuation</h3>
<p>A technical headwind is compounding selling pressure. Following the company’s inaugural quarterly earnings release — anticipated mid-August — approximately 20% of total outstanding shares will exit lockup restrictions. This substantial supply increase is prompting some shareholders to exit positions preemptively.</p>
<p>Valuation concerns persist as well. With a current market capitalization around $1.8 trillion yet no anticipated profitability through 2026, SpaceX commands roughly 50 times forecasted 2026 sales — an elevated multiple even accounting for robust growth projections.</p>
<h3 id="ark-invest-accumulates-shares">ARK Invest Accumulates Shares</h3>
<p>Contrarian activity emerged Monday as <a href="https://coincentral.com/cathie-wood-buys-22-8m-in-meta-stock-while-doubling-down-on-coreweave/" rel="noopener noreferrer nofollow">ARK Invest</a> acquired 130,241 SPCX shares — approximately $21.3 million — distributed among ARKK, ARKQ, and ARKW funds. This follows the previous week’s $52 million accumulation.</p>
<p>The aggressive buying hasn’t reversed the downtrend. Technical analysis shows deteriorating momentum with the MACD indicator turning bearish. Market observers identify $145 as a new resistance zone after previously serving as support. A definitive close beneath $135 would represent a significant technical breakdown below the IPO threshold — a psychologically important marker for market participants.</p>
<p>As of Tuesday morning, SpaceX was changing hands at $138.61.</p>
<p>The post <a href="https://blockonomi.com/spacex-spcx-stock-plummets-40-as-cathie-wood-continues-buying-amid-market-concerns/" rel="noopener noreferrer nofollow">SpaceX (SPCX) Stock Plummets 40% as Cathie Wood Continues Buying Amid Market Concerns</a> appeared first on <a href="https://blockonomi.com" rel="noopener noreferrer nofollow">Blockonomi</a>.</p>

SpaceX (SPCX) Stock Plummets 40% as Cathie Wood Continues Buying Amid Market Concerns

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