SpaceX at $100 could mean investors see zero value in its AI (www.latimes.com)

SpaceX's stock has recently dipped to around $110, leading analysts at Morgan Stanley to suggest that investors are effectively assigning no value to its artificial intelligence (AI) business. Following a tumultuous market debut after a record $86 billion initial offering, investor sentiment has soured, particularly as expectations grow that shares may drop to $100 once a lockup period lapses next month. This potential decline could reflect a broader market trend where investors are wary of technology companies heavily investing in AI amid economic uncertainty and rising inflation concerns. Morgan Stanley analyst Adam Jonas believes that the current stock price does not accurately reflect SpaceX's fundamentals, particularly its AI segment, which he estimates accounts for over 50% of his $300 price target for the company. Despite the market's skepticism, Jonas and a significant portion of Wall Street analysts remain bullish, viewing SpaceX as well-positioned across multiple sectors including launch services, connectivity, and AI development. This juxtaposition of bearish sentiment and strong fundamental potential highlights a critical moment for SpaceX, suggesting it may be an attractive investment opportunity for those willing to look beyond immediate market fluctuations.