Morgan Stanley says SpaceX AI unit could be worth near zero as shares tumble
Morgan Stanley analysts said SpaceX's artificial-intelligence unit, Grok, could be valued at essentially zero if the company's share price slipped to $100, after the stock fell about 28. 5% from its debut level. SpaceX's shares have experienced pronounced volatility since the debut, sliding from a peak above $200 to around $110 and briefly falling below the $135 IPO price.
Reports indicated that short-seller positions rose to roughly 32% of the float, about 206 million shares. Earlier, GMO co-founder Jeremy Grantham described the IPO as the most extreme ever and cautioned investors about the valuation, while analyst Gary Black warned that the market value exceeded reasonable revenue multiples. Despite the price drop, ARK Invest chief Cathie Wood defended a bullish outlook, saying the company could become a pivotal global player.
