SpaceX stock soars to its best day in 2 months while space peers climb out of a 26% hole

SpaceX (SPCX) just opened with its biggest jump since the company’s June debut and is on pace for its best day in two months. Its space stock followers are also bouncing, but from a much deeper hole.

SpaceX gapped higher after its third quarter revenue and profit topped Wall Street’s estimates. Its AI business now brings in nearly half the company’s sales. CEO Elon Musk said late Tuesday that SpaceX and Tesla (TSLA) have both formed committees to study a merger. Tesla reports after Wednesday’s close.

Through Tuesday, SpaceX stock was down just 2% in October, while the typical newer space stock was down about 26%. Legacy defense names such as Lockheed Martin (LMT) and Northrop Grumman (NOC) mostly gained.

SpaceX hasn’t moved in step with its space peers since its debut, by Yahoo Finance calculations, even as the rest of the group has traded almost as one.

In early trading on Wednesday, every newer space stock is higher. Intuitive Machines (LUNR) and Firefly Aerospace (FLY) are among the leaders, while Rocket Lab (RKLB) and AST SpaceMobile (ASTS) trail.

Not everyone will cheer the spending. SpaceX’s plan to spend $35 billion to $40 billion in the fourth quarter “suggests a new and higher level of capex than the market expected,” Chris Versace of Tematica Research wrote Wednesday, though he noted it’s backed by a $63 billion backlog.

The floor held

SpaceX’s first trade after its IPO came at $150, and bulls initially treated that price as a line in the sand. Below it, $140 became recent support — a floor where buyers keep stepping in — through August and September.

October’s pullback stalled well above that floor, with closes holding in the $146-$148 range last week. Wednesday’s gap carried the stock past $160 in one jump.

The ceiling hasn’t moved

Overhead, closes stalled near $172 in late June and again in early October. That’s potential resistance, where sellers have reloaded before. Above it, the June highs around $210 are the next potential wall.

Holding $150 keeps Wednesday’s gap intact. A break back below puts $140 in focus, then the $135 IPO price. Bulls first need a close above $172 to put $210 in view.

The next test comes fast. Up to 1.3 billion shares unlock on Thursday, the biggest share release yet, though past unlocks have barely dented the stock. The largest, in August, came right at the low.

Watch whether SpaceX holds its gap into the close. If it can stay above $150 through Thursday’s unlock, buyers are absorbing the new supply comfortably.

Jared Blikre is the global markets and data editor for Yahoo Finance. Follow him on X at @SPYJared or email him at jaredblikre@yahooinc.com.

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