CZ Says Hold the Stardust as SPCX Enters Its December Options Gauntlet 🚀

Binance founder Changpeng Zhao (CZ) said Saturday that SpaceX will be one of the best stocks to hold for years, even as SPCX closed Friday at $134.72, just below its $135 June listing price. Wall Street analysts tracked by TipRanks still see 86% upside, while options traders are pricing in a 14% swing by mid-December.

Binance holds more than $1 billion in SpaceX stock, a stake that began as a $500 million bet on Elon Musk’s 2022 Twitter takeover. Users interpreted CZ’s comments while he tallied the exchange’s hack shortfall as a possible warning that Binance could sell, but CZ rejected that reading. “I never said “selling SPCX shares”… I don’t make threats… And I think it will be one of the best stocks to hold for a long time to come,” CZ articulated. Binance co-CEO Yi He has said this year’s revenue covers the losses from the $6 billion heist.

SpaceX’s final batch of locked-up shares becomes sellable on December 8, according to the schedule published on Nasdaq. Options contracts expiring December 18 price in an approximately $19, or 14%, move, implying a range of $117 to $155, according to OptionCharts. The unlock follows the release of more than 911 million insider shares on August 6, when SPCX rose more than 6% toward $115.

Of 35 analysts tracked by TipRanks, 29 rate SpaceX stock a Buy. Their average target of $250.34 is about 86% above Friday’s close, while the lowest target, Piper Sandler’s $140, is above the current price. SpaceX trades at about 518 times its annual profit, per MarketBeat, even after third-quarter revenue jumped 161% to $14.57 billion. The December 8 unlock lands 10 days before the options contracts expire.