Starting in August and reinforced by an impressive earnings report, SpaceX (NASDAQ: SPCX) stock has slowly been regaining ground lost in its initial months in the public markets.
Indeed, the fall to all-time lows early in the previous month and the subsequent performance lent credence to speculation that waiting for a relatively predictable correction rather than investing immediately upon the SPCX initial public offering (IPO) would prove the savvy move.
Thus, traders who took the then-imminent earnings report as a sign the downtrend could be broken and put $10,000 in SpaceX stock at the very start of August – specifically at the month’s first closing price of $114.53 – would have enjoyed $2,419 in profits by the September 1 closing bell.
Investors who recognized, through luck and skill, $104.83 reached shortly before the earnings and built up a position of the same size at the price would have seen an even greater 35.68% return for nearly $3,568 in profits and SPCX holdings worth $13,657.68.
How much could a $10,000 SpaceX stock investment be worth in the future
Meanwhile, early SpaceX stock investors – or at least those who failed to fill their orders at the IPO price of $135 – are yet to see a profit on their trades, as, even after the rally, SPCX remains below its day-one open at $150 and close at $160.95.
Still, the vast majority of institutional analysts and several high-profile technology executives remain confident the situation will change in the future.
For example, the Street high SpaceX stock price target for the next 12 months stands at $800, indicating that a $10,000 investment made on the equity’s first day could rise above $50,000 by the summer of 2027.
Though the average forecast is substantially lower and at $232.35, it still means that institutional analysts anticipate original buyers will see their positions nearly double within just a year.
Still, Nvidia (NASDAQ: NVDA) CEO Jensen Huang might be the most bullish individual who has, so far, opined on the future value of Elon Musk’s newer public company.
Specifically, he opined that buying SPCX shares close to their IPO might be akin to holding a stake in companies like Amazon (NASDAQ: AMZN), Meta (NASDAQ: META), and Google (NASDAQ: GOOGL).
In the most extreme interpretation – the one that assumes SpaceX stock will behave like AMZN – the prediction means a $10,000 investment in the social media, rocket, internet, and artificial intelligence (AI) company could end up worth nearly $29 million early in the second half of the century.
Featured image via Shutterstock
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