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From: Denc 🗡
I did… Investing.com -- Deutsche Bank analysts told clients to buy SpaceX shares following a selloff triggered by the U.S. midterm elections, maintaining their Buy rating and $250 price target on the stock. SpaceX shares fell 3.81% to $135.92 on Wednesday and dropped more than 9% on Thursday before recovering partially on Friday, trading near $130 to $135. Deutsche Bank addressed concerns about potential political retribution against SpaceX after Elon Musk provided financial support to Republicans. The bank noted that most SpaceX dealings are with executive-branch agencies rather than Congress. Launch and satellite contracts are with federal entities including NASA, Space Force, and NRO. The analysts said there is often no viable alternative to reallocate SpaceX business to, meaning congressional funding cuts could backfire on U.S. interests. On the question of whether the new Texas governor could slow AI buildout, Deutsche Bank said the majority of SpaceX’s compute capacity will be outside Texas in 2027, with 8 to 10 gigawatts planned. The bank expects Texas will scrutinize data center projects more thoroughly rather than ban them entirely. Texas Governor-elect said in a CNN interview that the state needs laws to protect Texans from data centers taking advantage of rural communities, but clarified the state would remain pro-business. Deutsche Bank suggested that if U.S. compute capacity growth slows, SpaceX could charge higher prices due to its ability to build faster and cheaper than competitors. The company’s neocloud deals are cancellable within 90 days, allowing it to capture upside in the spot market.

Current Thread	Author	Time
I did…...[more]	Denc 🗡	16:50:21

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