by Coinstrooper Crypto Articles
Quick Take
  • Jim Cramer says Goldman Sachs’ $10 SpaceX price target hike to $230 shows its earlier $220 was not guesswork.
  • The CNBC Mad Money host sees analysts moving ahead of the stock instead of chasing it.
  • Goldman, a lead underwriter on SpaceX’s June initial public offering (IPO), opened coverage at $205 in July under analyst Eric Sheridan.
  • Cramer said the $220 target looked hard to defend when SpaceX shares sat near $120.

What Happened

Reuters reported the Nvidia chip plan splits into $10 billion in bank loans and $30 billion in investment-grade debt.

If completed, the $40 billion would rank among the largest debt raises for AI infrastructure. Goldman’s higher target arrives before SpaceX reports third-quarter results.

Market Context

Jim Cramer says Goldman Sachs’ $10 SpaceX price target hike to $230 shows its earlier $220 was not guesswork. The CNBC Mad Money host sees analysts moving ahead of the stock instead of chasing it.

Why does Jim Cramer see the SpaceX price target raise as proof?

Goldman’s note cites higher expected AI capacity, revenue and margins. Cramer links that to demand for SpaceX’s rented AI computing, which he says explains its $40 billion chip plan.

The post Jim Cramer Says Goldman's SpaceX Price Target Hike Proves It Wasn't Guesswork appeared first on BeInCrypto.

Why It Matters

“Maybe there really is some rigor to the analysis.”

Still, Cramer adds that SpaceX’s story could play out faster than Tesla’s, though it does not suit his Charitable Trust.

However, Bloomberg sources say the talks are preliminary and may not produce a deal.

Details

Goldman, a lead underwriter on SpaceX’s June initial public offering (IPO), opened coverage at $205 in July under analyst Eric Sheridan. The $230 target is its second raise since.

Cramer said the $220 target looked hard to defend when SpaceX shares sat near $120. Since then, SpaceX has climbed, closing at $171.92 on October 6, according to Google Finance.

The latest raise changed his view.

Jim Cramer, host of Mad Money on CNBC

He says analysts covering speculative stocks rarely lift targets until buyers have already pushed shares past the old one.

Does the rest of Wall Street read the numbers the same way?

On August 5, Goldman lifted the target to $220 while Deutsche Bank cut its own from $255 to $235.

Meanwhile, Morgan Stanley’s $300 target is the highest among the four banks that led the IPO.