Demand for SpaceX(SPCX.US) shares is surging among retail investors, but this analyst is cautioning against SpaceX’s rally, pointing towards the commercial space flight giant possibly becoming a “meme stock.”

Retail Demand Shoots Up

In a post on the social media platform X on Tuesday, The Kobeissi Letter said that since Monday, retail investors have bought as much SpaceX as “every other US single stock combined in the entire prior week.”

Read Also: Elon Musk Revives A 10-Year-Old Promise After SpaceX's Record-Breaking IPO 

Retail investors bought over $93 million worth of the commercial space flight company’s stock, the post said, which accounted for “~73% of all retail single-stock purchases during the day.”

“Retail appetite for risk shows no signs of slowing,” the post said, pointing towards SpaceX retail turnover exceeding $7 million during the first 10 minutes on Monday.

Retail investors are piling in to SpaceX stock:

Over the last 2 trading sessions, retail investors bought nearly as much SpaceX, $SPCX, as every other US single stock combined in the entire prior week, according to Vanda Research data.

On Monday alone, retail purchased +$93.8… pic.twitter.com/lpzuRGEIOM

— The Kobeissi Letter (@KobeissiLetter) June 16, 2026

SpaceX A Meme Stock?

Charlie Billelo, an executive at investment firm Creative Planning, cautioned against SpaceX’s rise while acknowledging that he has received criticism for his “cautionary” approach to SPCX. “Last time I saw this was in 2021 when I was warning about the meme stock/SPAC/ARKK manias,” he said.

‘History doesn’t repeat itself, but it often rhymes,” Bilello said, quoting an earlier post by him that showcased SpaceX surpassing Microsoft Corporation(MSFT.US) and Amazon.com, Inc.(AMZN.US) market capitalization.

My cautionary posts about SpaceX/Semiconductors seem to have struck a nerve.

Receiving many enraged/offensive e-mails.

Last time I saw this was in 2021 when I was warning about the meme stock/SPAC/ARKK manias.

History doesn't repeat itself, but it often rhymes. https://t.co/N9MSZqPR8p

— Charlie Bilello (@charliebilello) June 16, 2026

A meme stock is a stock that gains popularity among retail investors (ordinary Americans in this case) through social media hype. GameStop Corp. Class A(GME.US) is a prominent example of a meme stock.

Elon Musk’s Trillion-Dollar Run

SpaceX’s rally also resulted in Elon Musk surpassing the combined net worths of other tech billionaires like former Alphabet Inc. Class A(GOOGL.US) / Alphabet Inc. Class C(GOOG.US) CEO Larry Page, as well as Sergey Brin, Amazon.com, Inc.(AMZN.US) founder Jeff Bezos and Oracle Corporation(ORCL.US) CEO Larry Ellison.

However, not everyone has been bullish on SpaceX, with Keith Snyder, an analyst at CFRA, initiating coverage on SPCX with a Sell rating and a $115 price target, implying roughly 46% downside from current levels.

Read Also: Elon Musk's SpaceX Could Get An Extra $11.25 Billion Boost As Demand For Its Historic IPO Builds: Here's How 

Price Action: SpaceX shares were up 2.06% to $205.95 during the after-hours session on Tuesday.

Check out more of Benzinga's Future Of Mobility coverage by following this link.

Photo courtesy: Shutterstock