Wedbush starts SpaceX coverage with Outperform rating
Wedbush initiated coverage of SpaceX with an Outperform rating and a $190 price target. The company is well-positioned to become a major hyperscaler with its vertically integrated platform.
SpaceX drives profitability with about 12M subscribers, an ARPU of $66, and recurring revenues. The company has less than 1% share of the global telecom/broadband market.
SpaceX is funding expansion with $86B from its IPO, a portion of which is allocated to AI infrastructure. The company is seeking further financing as it continues capital investments and pays down debt.