SPCX Bull Case Strengthens — Oppenheimer Raises SpaceX Target, Sees More Upside After Cursor Deal

• Oppenheimer raised its price target to $250 from $190, citing around 26% upside potential from Wednesday’s close.
• The firm says the Cursor deal improves SpaceX’s AI infrastructure stack and developer ecosystem integration.
• It expects the acquisition to boost SpaceX’s AI-related revenue trajectory and improve long-term margin expansion potential.

SpaceX (SPCX) saw a higher valuation outlook from Oppenheimer following its strategic acquisition of AI coding firm Cursor and a stronger long-term growth outlook tied to its expanding technology stack.

At the time of writing on Thursday, SPCX stock was down 10%.

Earlier, on Wednesday, the stock fell 5% in its first post-IPO decline, snapping a sharp rally that had driven it over 40% above its offering price and briefly lifted its market cap past Microsoft. 

SPCX Price Target Lifted By Oppenheimer

SpaceX saw a higher valuation outlook from Oppenheimer, which raised its price target on the stock to $250 from $190, implying an upside of 26% from Wednesday’s close. The firm also maintained an ‘Outperform’ rating.

Oppenheimer cited increased visibility into the Cursor acquisition and stronger confidence in SpaceX’s AI-driven strategy, stating that the company’s vertically integrated AI stack and expected acquisition pipeline support its long-term growth outlook.

Oppenheimer said SpaceX owns every layer of the AI stack, giving it cost and quality advantages. The stack spans compute, models, data and applications, with Cursor forming a major component of this structure. The firm also expects many more acquisitions ahead as part of this strategy, according to TheFly.

Oppenheimer also added that Starship is the launch moat and a NASA-funded route to a lunar supply base. 

What SPCX Gains Through Cursor

SpaceX agreed to acquire Cursor in a $60-billion stock deal. Oppenheimer called the transaction highly beneficial for both sides and said it is expected to boost SpaceX’s revenue and profits.

Through the deal, SpaceX will gain agentic coding tools, including a software layer that supports large language models, as well as a database of more than one million users. Oppenheimer said the acquisition gives SpaceX engineering leverage, data and a captive base of expert developers, strengthening its AI flywheel and vertical integration, which should help innovation and margins, according to CNBC.

Oppenheimer raised estimates after the deal, saying that Cursor’s annual recurring revenue is running at a $4 billion rate today, up from $1 billion in 2025 and expected to reach $6 billion by end-2026. It also lifted SpaceX’s expected Q4 AI revenue to $8.75 billion from $4.75 billion, according to CNBC. 

SPCX Stock: What Retail Traders Feel

Retail sentiment on Stocktwits around SpaceX was ‘bullish,’ with message volume being ‘extremely high.’

Oppenheimer’s view aligns with broader Wall Street sentiment. Of the six analysts covering SpaceX, five rate the stock a ‘Buy’ or ‘Strong Buy,’ according to Koyfin data. 

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