Key Highlights

1. Broad Tech Selloff Hits Newly Public Stock

Space Exploration Technologies (NASDAQ: SPCX) fell more than 6% as Nasdaq 100 futures slid at triple the pace of the S&P 500, dragged lower by rising Treasury yields and a soft ADP jobs report.

2. Nasdaq-100 Inclusion Set for July 7

Nasdaq confirmed SPCX will join the Nasdaq-100 index on July 7, a move expected to trigger heavy passive fund buying even as the stock struggles in the near term.

3. Wedbush Initiates Bullish Coverage

Wedbush started coverage with an Outperform rating and a $190 price target, framing SpaceX as a future AI hyperscaler rather than just a launch and satellite company.

Space Exploration Technologies (NASDAQ: SPCX) dropped more than 6% as a broad, tech-led pullback opened the third quarter, even as the newly public company collected a string of bullish headlines. Nasdaq 100 futures fell at roughly three times the pace of the S&P 500, weighed down by rising Treasury yields and a softer-than-expected ADP private payrolls report that renewed concerns about the pace of the economic slowdown.

The decline is notable because it arrives just days before a major structural catalyst. Nasdaq confirmed that SPCX will officially join the Nasdaq-100 index on July 7, a step that typically forces index-tracking funds to buy shares regardless of near-term price momentum. Historically, additions of this size have produced meaningful passive inflows in the days surrounding the effective date, and traders are already positioning for that dynamic even as the broader market sells off.

Adding to the contrast between sentiment and fundamentals, Wedbush initiated coverage of SPCX with an Outperform rating and a $190 price target. The brokerage's note framed SpaceX less as a traditional rocket and satellite launch business and more as an emerging artificial intelligence hyperscaler, pointing to the scale of Starlink's satellite network and its potential to support compute and connectivity demand tied to AI workloads.

The disconnect between a bullish long-term thesis and a sharp short-term drawdown is not unusual for newly listed, high-growth names. Investors appear to be weighing macro headwinds, including the trajectory of interest rates and labor market data, more heavily than company-specific catalysts in the first sessions of the new quarter. That said, the pending Nasdaq-100 inclusion gives the stock a defined near-term event that could offset some of the broader market pressure.

For now, SPCX shares remain highly sensitive to macro data releases given their outsized beta relative to the Nasdaq 100. Investors will be watching upcoming labor market and inflation data closely, alongside any further analyst commentary following the Wedbush initiation, as the stock approaches its index inclusion date.