SpaceX Stock Plunged Today. Is It Finally Time to Buy?

Space Exploration Technologies (NASDAQ: SPCX) just reported its highly anticipated first quarterly report as a public company. Investors are selling the news, though. SpaceX stock plunged as much as 13% before paring that loss.

The stock is trading well below its initial public offering (IPO) price of $135 per share, and the question for investors is when the stock will bottom out or whether it offers enough value to buy now.

Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now, when you join Stock Advisor. See the stocks »

SpaceX was priced to perfection in its debut in the public markets. The company itself is delivering on expected growth, though. Revenue of $7.8 billion represented 92% year-over-year growth. CEO Elon Musk told investors that growth will not only continue but also accelerate. He expects SpaceX to be generating revenue at a $100 billion annual run rate by the end of this year.

Musk also advanced the company's goal of achieving $1 trillion in annual revenue by 2030, noting that it could reach this target as early as 2029. That seems achievable, since the company intends to build AI compute infrastructure in space, serving all hyperscalers. There doesn't seem to be any competition for doing so at this time.

That makes the stock's decline an opportunity for long-term investors. SpaceX shares should move higher over time if Musk accomplishes much of what he plans. The AI capital spending that has investors concerned today will pay dividends in the long run.

Before you buy stock in Space Exploration Technologies, consider this:

The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Space Exploration Technologies wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.