Sageworth Trust sharply raises SpaceX stake as analysts keep mixed views

Sageworth Trust expands its holding

MarketBeat reports that Sageworth Trust Co increased its SpaceX position in the third quarter by 2,161.6%, according to its latest 13F filing with the Securities and Exchange Commission. After buying 66,706 additional shares during the quarter, the firm held 69,792 shares. MarketBeat says that stake represented about 0.4% of Sageworth Trust’s portfolio and was its 22nd largest position. The filing put the holding’s value at $10,529,000.

Other institutions and insider activity

MarketBeat also says several other hedge funds and institutional investors recently changed their SpaceX positions. It lists SC US Ttgp LTD. as having acquired a new stake in the second quarter valued at $20,933,621,000, Darsana Capital Partners LP as having bought a new position worth $17,335,783,000, K5 Global Advisor LLC as having added a new position worth $6,587,531,000, Mirae Asset Global Investments Co. Ltd. as having purchased a new position in the third quarter valued at $4,224,143,000, and Thrive Capital Management LLC as having purchased a new position in the second quarter valued at $3,231,681,000.

The article says SpaceX chief operating officer Gwynne Shotwell sold 342,170 shares on Tuesday, September 22, at an average price of $153.57, for total proceeds of $52,547,046.90. After the transaction, she directly owned 2,472,035 shares valued at $379,630,414.95. MarketBeat says the sale reduced her position by 12.16% and was disclosed in an SEC filing. It also says the trade was carried out under a pre-arranged Rule 10b5-1 plan.

Analyst ratings and price targets

MarketBeat says several analysts have recently commented on SpaceX. HSBC restated a hold rating on Wednesday, October 21. UBS Group repeated an overweight rating and set a $300 price target the same day. Cantor Fitzgerald raised its target from $246 to $345 and kept an overweight rating on Tuesday, October 20. KeyCorp reiterated a sector weight rating on Wednesday, October 21. Seaport Research Partners downgraded the stock from buy to neutral on Friday, August 7.

The report says four analysts rate the stock Strong Buy, 30 rate it Buy, nine rate it Hold, and three rate it Sell. Based on MarketBeat’s data, the consensus rating is Moderate Buy, and the average price target is $244.97.

Trading data and quarterly results

MarketBeat says SpaceX opened Thursday at $135.92 and was down 3.8%. It gives the company a market value of $1.85 trillion and a price-to-earnings ratio of 522.77. The report says the stock’s 12-month low is $104.83 and its 12-month high is $225.64. It also lists a 50-day simple moving average of $149.64, a current ratio of 3.08, a quick ratio of 3.00, and a debt-to-equity ratio of 0.20.

The company’s latest quarterly earnings, announced on Tuesday, October 20, showed earnings per share of $0.35, which MarketBeat says beat the consensus estimate by $0.25. The prior-year quarter showed a loss of $0.36 per share. Revenue for the quarter was $14.57 billion, up 161.4% from a year earlier. The company also reported a negative net margin of 8.61% and a negative return on equity of 3.24%. Analysts, on average, expect full-year earnings of $0.19 per share.

Recent themes and company background

MarketBeat says recent stories tied to SpaceX have focused on possible growth from Starlink Mobile after the company selected Qualcomm to provide 5G network technology for the service. The article says this could support SpaceX’s plan for a nationwide wireless service and may create a new revenue source.

It also says recent results showed strong momentum, with third-quarter revenue rising 161% and the Super Intelligence segment growing rapidly, while the AI build-out requires heavy investment and the eventual payoff is still uncertain. Another recent topic, according to MarketBeat, is concern that Democratic gains in Congress and key state races could lead to tighter oversight of AI data centers and create obstacles for SpaceX’s infrastructure plans. The report says the election outcome also increased uncertainty around a possible SpaceX-Tesla merger. A further concern cited in the article is elevated spending, execution risk, and a valuation that depends heavily on future growth.

MarketBeat describes SpaceX as Space Exploration Technologies Corp., a privately held aerospace company founded by Elon Musk in 2002. It says the company develops and operates launch vehicles and spacecraft meant to lower the cost of access to space and support commercial, government, and scientific missions. The company’s main products and services include Falcon 9, Falcon Heavy, Dragon, and Starlink. The article says Falcon rockets launch satellites, cargo, and crew, while Dragon supports transportation to and from low Earth orbit.