Investing.com -- Oppenheimer has raised its price target on SpaceX (NASDAQ: SPCX) to $250 from $190, citing increased revenue visibility following the company's Cursor acquisition and a broader view that SpaceX controls a uniquely advantaged position across the entire artificial intelligence stack.

Analyst Timothy Horan said SpaceX "owns every layer of the AI stack, giving it cost and quality advantages," spanning compute, models, data and applications.

Horan described Cursor as "a major component" of that stack and said he expects further acquisitions ahead.

The price target increase was driven primarily by a revision to AI revenue estimates. Oppenheimer raised its fourth-quarter 2026 AI revenue forecast to $8.75 billion from $4.75 billion, reflecting Horan's updated view on Cursor's growth trajectory.

He estimates Cursor is currently running at a $4 billion annual revenue rate, up from $1 billion at year-end 2025, and expects the figure to reach $6 billion by year-end 2026. The firm also extended its discounted cash flow model out to 2040.

Beyond the near-term financials, Horan outlined a broader strategic roadmap. Starship is described as both a launch moat and "a NASA-funded route to a lunar supply base," while terrestrial data centers and the launch of TeraFab are identified as short-term priorities. Orbital compute represents a longer-term opportunity.

Oppenheimer acknowledged that the key risks are execution-related but said SpaceX "excels in this," pointing to the company's track record as a basis for confidence in its ability to deliver across each stage of its commercial roadmap.