President Donald Trump praised Space Force on Truth Social on Tuesday. SpaceX (SPCX) stock rose 2.79% the same morning. The two facts look connected, but are they?

SpaceX depends on Space Force contracts worth billions of dollars. That link led traders to ask whether a single post could move the stock.

Why Trump’s Post Put SpaceX Stock in the Spotlight

Trump said in a Truth Social post that the US Navy had cleared every mine from the Strait of Hormuz. He warned Iran against placing new ones. Then he named the agency that pays SpaceX billions.

“Through Space Force, we are watching every square inch of the Strait, as we are, also, with Pickaxe Mountain and the already destroyed three other Nuclear sites,” Donald Trump, President of the United States, in the statement.

The money trail behind that name is real, because in May, Space Systems Command gave SpaceX a $2.29 billion contract to build a military data network. In July, it added a $1.6 billion order for 18 Falcon 9 launches.

Trump’s words have moved defense stocks before. In December 2016, one Trump tweet about F-35 costs erased about $3.5 billion of Lockheed Martin’s value almost immediately.

Last month, CNN found Trump had praised stocks he owned in 21 companies on Truth Social.

Premarket Timing and Rival Catalysts Weaken the Link

The clock clears

A stronger catalyst was already public because a financial disclosure released on August 22 showed that Trump bought $15,001 to $50,000 worth of SPCX on June 23.

That was less than two weeks after the company’s $1.77 trillion initial public offering (IPO). The White House says independent institutions manage his portfolio.

Wall Street supplied another driver on Tuesday. JPMorgan repeated its $240 target, a call implying nearly 80% upside on the company’s artificial intelligence (AI) bets.

TipRanks data shows 33 analysts rate SPCX a Moderate Buy. Their average target is $228.59.

The contrast with 2016 is telling, as a Lockheed tweet named a company and threatened its biggest program.

Tuesday’s post named no company, no cost, and no contract. No analyst tied the gain to it.

SPCX gained 24% in August after reclaiming its IPO price earlier this month. Roughly 370 million insider shares unlock in September. That supply wave, not one presidential post, is the number for shareholders to watch.

Source: BeInCrypto