Pivotal Research Initiates SpaceX Coverage With Buy Rating, Citing Starship Reusability

Pivotal Research has initiated coverage of SpaceX with a buy rating, according to a report published by CNBC on September 8.

The research firm's bullish outlook is based on its belief that SpaceX will find a way to reuse its Starship launch vehicles, which it identified as a major bottleneck for the company's operations, CNBC reported.

Reusability of the Starship rocket system has been a central goal for SpaceX, as the company has sought to reduce launch costs and increase the frequency of missions. According to the report, Pivotal Research's assessment centers on the company's ability to resolve this technical challenge.

CNBC's report did not provide additional details on Pivotal Research's price target or specific timeline for when Starship reusability might be achieved.

SpaceX, founded by Elon Musk, has been developing the Starship vehicle as part of its broader strategy for space transportation, including plans for missions to the moon and Mars.