Why is Space Exploration Technologies stock climbing today?

Space Exploration Technologies Corp stock rose 1.1% in pre-open trading to reach $149.12 after CEO Elon Musk confirmed late Sunday that SpaceX had closed a $40 billion debt financing arrangement to purchase graphics processing units, with the callable debt structured around GPU deliveries expected in the first and second quarters of 2027.

Musk attributed the company’s ability to secure the financing to its investment-grade credit profile, underpinned by recurring revenues from Starlink satellite internet and its rocket launch business, while also warning that more than 200 specialized cloud computing providers face widespread failures as credit conditions tighten.

Adding to the upward momentum, Bernstein SocGen raised its SpaceX price target today to $268 from $248 while maintaining an Outperform rating, with the firm now projecting 13 gigawatts of terrestrial compute capacity by the end of 2027 — five gigawatts above its prior estimate.

The upgrade follows a wave of analyst target increases from BofA Securities, Pivotal Research, and TD Cowen, all citing SpaceX’s strong third-quarter performance and its ambitious projection of between $500 billion and $1 trillion in annualized revenues exiting 2027.

Barclays also upgraded Tesla to Overweight, partly citing the expected combination with SPCX, which adds a secondary tailwind to the SpaceX narrative.

The gains are, however, partially restrained by a notable supply event: a staggered IPO lockup tranche of up to 328.4 million shares expired on Saturday, October 24, making those holdings eligible for trading for the first time today.

This is the latest in a series of staggered releases since the company’s June 2026 IPO, and prior tranches have at times weighed on the stock. Broader market conditions are supportive, with the S&P 500 up 0.3%, the Nasdaq up 0.4%, and the Dow Jones up 0.5%, aided by easing geopolitical tensions after President Trump confirmed no imminent U.S. strike on Iran.

Taken together, the combination of Musk’s high-profile GPU financing announcement, a same-day analyst price target upgrade, and a constructive macro backdrop are outweighing the lockup-related supply overhang, allowing SPCX to trade above its prior close of $147.49 and within a day range of $144.09 to $149.75 — though the stock remains well off its 52-week high of $225.64.