SpaceX Draws $250 Average Target by 2028 as $5,000 Stake Could Reach $8,427

Q: Can the profitable Starlink network sustain the multi-billion dollar losses from SpaceX's ambitious AI division?

Not on its own. Starlink is currently the cash engine supporting SpaceX, but the numbers suggest it is not large enough by itself to comfortably absorb the AI division’s losses and spending. Starlink is the only clearly profitable segment. In 2025, SpaceX’s connectivity business generated about $4.4 billion in operating profit, helped by rapid subscriber growth to more than 10 million by early 2026. That gives SpaceX a real source of recurring cash flow. But the AI business is consuming more than that. SpaceX reported a 2025 net loss of $4.9 billion, with the AI segment posting multi-billion-dollar operating losses and driving most of the company’s capital spending. AI-related capital expenditure reached roughly $12.7 billion in 2025, and broader AI reinvestment exceeded $14 billion. In the latest quarter, the AI unit alone reportedly lost about $2.5 billion. That means Starlink can subsidize part of the AI push, but not fully fund it without help from other sources such as launch profits, new equity, debt, or IPO proceeds. The strain is made more serious by falling monthly revenue per Starlink subscriber, even as the user base grows, and by the technical and regulatory risks around orbital data centers. So the answer is that Starlink can support the AI build-out for now, but only as a partial backstop. If AI losses remain at current levels or rise, and if Starlink growth slows, the model becomes financially fragile very quickly.

2 articles · Updated · The Motley Fool · Jul 13

Fifteen new analyst ratings put SpaceX's average price target near $250 over 18 months, implying a $5,000 investment made at the July 8 close could grow to $8,427 by January 2028.
At $148.30 on July 8, that investment would buy a little over 33 shares, translating to a 68.5% gain if the stock reaches the consensus target.
One analyst projected SpaceX could hit $800 within 12 to 18 months, but that view stood out as a clear outlier against the broader range of new forecasts.
The estimates come with heavy uncertainty because SpaceX spans rockets, satellites and AI, while management is pursuing a $28.5 trillion addressable market, including $26.5 trillion tied to AI.
That expansion is expensive: SpaceX's AI capital spending reached $12.7 billion in 2025, and the company posted a $4.9 billion net loss as it works toward a satellite-based AI infrastructure buildout.