SpaceX shares continued to slide on July 13, dropping below the $140 mark despite receiving a major regulatory green light from the U.S. Federal Aviation Administration (FAA). While the agency officially closed its investigation into the Starship Flight 12 mishap and cleared the company to move forward with Flight 13 preparations, investors remained cautious.
The stock’s decline suggests that broader market sentiment and recent profit-taking are currently outweighing positive operational developments.
SpaceX shares extend recent losses
According to the latest market data, SpaceX (SPCX) was trading near $139, down around 4% during the session.
The decline leaves the stock trading close to its $135 IPO price and significantly below its $150 opening price following last month’s public listing.
Over the past five trading sessions, SpaceX shares have lost more than 12%, continuing a downward trend despite several positive company milestones.
FAA clears Starship Flight 13 preparations
One of the biggest recent developments for SpaceX came from the Federal Aviation Administration (FAA).
The regulator announced that it had officially completed its review of the Starship Flight 12 incident and accepted the corrective measures proposed by SpaceX.
According to the FAA, the investigation found no reports of injuries or damage to public property during the launch mishap. With the review now complete, SpaceX has received approval to move forward with preparations for Starship Flight 13, provided all remaining licensing and safety requirements are met.
The next Starship launch could take place as early as this week.
Positive developments fail to boost investor sentiment
Despite the regulatory approval, investors have remained cautious.
Last week, SpaceX also achieved another significant milestone by joining the Nasdaq-100 Index, a move that typically attracts additional demand from index funds and institutional investors.
However, neither the FAA’s approval nor the Nasdaq-100 inclusion has been enough to reverse the recent decline in the company’s share price.
Instead, traders continue to focus on the broader market correction and the stock’s pullback from recent highs.
Wall Street remains optimistic
Although the market has turned cautious in the short term, Wall Street analysts continue to maintain a bullish outlook on SpaceX.
Major investment firms including Morgan Stanley, Goldman Sachs, and Citi have all reiterated their positive ratings despite the recent weakness.
Among the most optimistic forecasts, Raymond James recently initiated coverage with a Strong Buy rating and assigned an $800 price target.
If achieved, that target would represent more than 400% upside from the stock’s current trading level, making it one of the most aggressive forecasts on Wall Street.
Starship Flight 13 could become the next catalyst
With the FAA review now complete, attention is shifting toward the upcoming Starship Flight 13 mission.
A successful launch could help restore investor confidence by demonstrating continued progress in SpaceX’s ambitious space program. Conversely, any delays or technical setbacks could keep pressure on the stock.
For now, the market appears to be prioritizing recent selling momentum over the company’s long-term growth story. Investors will likely watch the upcoming launch closely, as it could become the next major catalyst for both SpaceX’s aerospace ambitions and its share price.
