Should You Buy SpaceX Stock If It Dips Below $100?

SpaceX is currently trading around $151, a significant move from its $225 high earlier this year. With shares hovering above the $100 level, traders are questioning whether a dip below that psychological barrier would represent a bargain or a warning sign. While the stock has seen high volatility since its June IPO, recent daily trading ranges have tightened as market volume slows down.

Analysts remain divided on the company's valuation. Some firms point to a fair value closer to $62 per share, while others maintain aggressive price targets near $220. This gap highlights a classic tug of war between those who believe the current revenue growth justifies the price and those who think the market valuation outpaced the actual business performance.

Management is focusing on revenue generation through upcoming milestones like the Starship Flight 14 mission and new AI hosting agreements. CFO Bret Johnsen noted that the next flight is expected to be a revenue generating event, marking a shift toward profitability. Whether a drop to $100 becomes a buying opportunity depends on if these operational goals can successfully offset the pressure from recurring share lockup expirations.

For now, any move toward the $100 mark will likely be driven by the supply of shares rather than a drop in demand for the company. Investors watching this space should monitor the upcoming flight performance and the success of the new AI deals to determine if the stock is truly undervalued or simply adjusting to its post IPO reality.