SpaceX shares gained after Elon Musk proposed giving a share to every American child next year, while oil prices surged above $110 a barrel following reports of a US attack on an Iranian naval base.
CoreWeave rebounded after analyst upgrades, and Amazon received a higher price target from Morgan Stanley on its AI and cloud growth prospects.
SpaceX: Musk proposes giving shares to every American child
SpaceX shares rose on Monday after CEO Elon Musk said he planned to give one share of the company to every American child next year.
“There are roughly 70 million Americans below the age of 18,” Musk wrote on X. At current prices, distributing that many shares would represent approximately $10 billion in value and slightly more than 1% of the six billion-plus shares he controls.
The proposal follows Anthropic’s plan to allocate 5% of its stock to a public benefit fund, as companies explore ways to address public concerns about artificial intelligence safety.
However, details of Musk’s proposed distribution remain unclear, including the timing and type of shares involved. SpaceX did not respond to a request for comment.
The company’s shares had fallen more than 10% last week amid a broader technology sell-off.
Investors were also preparing for its third-quarter earnings report on Tuesday.
Analysts surveyed by FactSet expected earnings per share of $0.14 on revenue of $12.9 billion.
Brent crude rises above $110 after Iran attack report
Oil prices rose above $110 after Al Jazeera reported a US attack on Iran’s Konarak naval base, raising concerns about further disruption to Middle Eastern energy supplies.
Brent crude futures traded near $109 per barrel after rising above $110 in the session, while West Texas Intermediate traded above $103.
The reported attack renewed concerns about escalation in a conflict that has already disrupted shipping through the Strait of Hormuz.
Al Jazeera, citing Iran’s navy, reported that two light projectiles struck the naval complex, injuring two soldiers, and that a 35-millimetre cannon was targeted.
Supply concerns had already intensified, with Kpler data showing average crude flows through the Gulf falling to approximately 8.5 million barrels per day last week, based on a seven-day average, compared with more than 20 million barrels per day in the preceding week.
Oil had initially declined after the US moved to ease restrictions on Russian oil.
However, the latest reports shifted market attention back towards geopolitical risks and the possibility of further supply disruptions.
US Treasury yields also moved higher, with the 10-year yield rising five basis points to 5.148% and the 30-year yield reaching 5.48%.
Goldman Sachs upgrades CoreWeave
CoreWeave shares rebounded on Monday after a steep sell-off, supported by positive analyst commentary and a broader recovery in technology stocks.
Goldman Sachs upgraded the AI-focused cloud computing company to Buy from Neutral, although it lowered its price target to $106 from $139.
Analyst Gabriela Borges argued that investor concerns about the company’s risks may have become overstated.
Cantor Fitzgerald maintained its Overweight rating and $176 price target, while Evercore ISI and Deutsche Bank retained positive ratings with $150 targets.
The recovery followed a 24% decline over the five sessions through the previous week.
Investors have become increasingly concerned about CoreWeave’s debt-funded expansion and the cost of financing its data-centre infrastructure.
The company rents computing capacity powered by Nvidia graphics processing units to AI developers, including OpenAI, and major technology companies such as Meta Platforms.
Despite strong demand for AI computing capacity, investors are assessing whether future revenue and profits can justify the company’s substantial borrowing and infrastructure commitments.
Amazon stock surges 5% after Morgan Stanley upgrade
Amazon shares advanced 5% after Morgan Stanley raised its price target to $350 from $335 and reiterated an Overweight rating, identifying the company as one of its top picks.
The new target implies approximately 40% upside from Friday’s closing price of $250.
Analyst Brian Nowak expects Amazon Web Services (AWS) to remain a major growth driver, forecasting year-over-year growth of 47% in 2027.
Nowak also highlighted opportunities in agentic AI, which allows systems to perform tasks on users’ behalf, and in robotic fulfilment operations.
“We continue to think AWS’s growth and profit runway is under-appreciated,” Nowak wrote in a research note.
Amazon’s cloud business could benefit from expanding demand for AI computing, while its established e-commerce infrastructure may help it participate in AI-powered shopping.
Morgan Stanley also sees potential for Amazon to expand its use of robotics through new fulfilment centres and upgrades to existing facilities in 2027.
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