Bank of America lifts SpaceX price target to $275 as it advances forecasts

SpaceX shares saw renewed bullish attention after Bank of America increased its price target to $275, according to a report carried by Yahoo Finance and republished by Proactive Investors. The note also said the bank moved its forecasts forward, effectively bringing more of the expected financial trajectory closer in time.

SpaceX, which has been working toward a series of Starship test milestones, is commonly viewed by analysts through the lens of whether the company can transition from rapid testing to repeatable, commercially scalable operations. In the most recent read-through, Bank of America’s update was framed around an upcoming “Starship recovery test,” a step that would test the ability to bring the rocket’s components back after flight.

While the report emphasizes the timing of the next major catalyst, it does not provide the full set of model inputs in the text available here, including whether the forecast changes were driven by revisions to launch frequency assumptions, pricing, manufacturing ramp, or cost targets. It also does not detail what time period the bank’s advanced forecast horizon now covers beyond the general idea that results are expected sooner than previously modeled.

The update was presented in a market context in which analysts often adjust their expectations when a company’s technical milestones appear more likely to translate into revenue. For SpaceX, Starship is central to that thesis because it is intended to support high-capacity cargo, satellite deployment, and eventually broader access missions, while also serving as a platform that must demonstrate reusability in practice, not just in theory.

Bank of America’s decision to raise the price target implies a higher valuation outlook for SpaceX under its assumptions, but the republished account does not specify the exact changes to its revenue and margin projections, nor does it provide supporting line-item estimates. The report also does not describe any changes to discount rates, risk assumptions, or likelihood weighting for technical outcomes that could materially affect valuation.

In a sector where sentiment can swing quickly around technical checkpoints, the “recovery test” framing matters because reusability is viewed as a key cost lever. If Starship recovery is demonstrated under relevant conditions, it can strengthen the case that future flights may become more economical, which analysts typically translate into improved financial forecasts.

At the same time, this update comes with uncertainty that is typical for early-stage and milestone-driven space companies. Even if a test is scheduled, actual performance can vary due to engineering outcomes, environmental conditions, or test-to-test differences. The report available here does not include any confirmation of specific success criteria, timing details for the test window, or whether regulators, customers, or mission partners have adjusted their plans around it.