Bank of America reiterates bullish SpaceX view, says AI business now underpins long-term value

Bank of America had already reiterated its bullish stance on SpaceX with a $235 target price, arguing that the company's long-term value is increasingly tied to AI computing rather than its traditional launch business. Jim Cramer has now added a separate long-term endorsement, describing SpaceX as a potential generational asset akin to the century-long railroad bonds once bought by investors, while cautioning that short-term buyers may want to wait for a better entry point. Cramer's comments come as SpaceX faces heavier trading pressure after a lockup expiry on Aug. 6 released about 911.5 million shares for trading, lifting the public float from roughly 639 million shares to 1.55 billion shares and adding more than $100 billion in newly tradable stock to the market. The shares have fallen for five straight weeks and dropped 13.61% in a single session after the company published its first quarterly earnings report as a listed company. The near-term pressure has been compounded by investor concern over capital expenditure that exceeded Wall Street expectations by more than $5 billion. Even so, Cramer said he would hold the stock for his children and pointed to several long-term drivers, including Starlink's satellite internet business, commercial launch services, Starship's reusable launch economics, potential orbital data centers, AI compute infrastructure and SpaceX's role in the future lunar economy through NASA's Artemis program. Those themes overlap partly with Bank of America's thesis that AI infrastructure and compute services could become the company's dominant growth engine. The bank projected SpaceX's AI business would generate $24.5 billion in revenue in 2026, more than half of its full-year revenue forecast of $46.9 billion, before rising to $100.7 billion in 2027 and $184.8 billion in 2028.