Morgan Stanley: Still maintaining a $300 price target for SPCX, with a bull case scenario directly hitting $600. At the current stock price of around $140, if you subtract SpaceX's aerospace and connectivity businesses valued at approximately $127/share, the market is only assigning about $12/share to the entire AI business—equivalent to just slightly over 1x 2028 EV/Sales. Cursor has now entered over 64% of the Fortune 500 companies, with more than 50,000 enterprise clients and an ARR of approximately $4 billion as of June. Morgan Stanley estimates that ARR could reach $8 billion by the end of this year, $17 billion by 2027, and $33 billion by 2030. And this forecast doesn’t even account for the synergies from SpaceX’s acquisition. SpaceX buying Cursor isn’t just about acquiring an AI programming tool. This system is already shaping up to form a complete AI industry chain: Cursor handles developer entry points and workflows, Grok provides models, X supplies real-time data, SpaceXAI delivers computing power, Starlink ensures global connectivity, and in the future, Tesla could extend AI into robotics and the physical world. The most valuable piece here is actually the developer data that Cursor holds. Over 50,000 enterprises are using AI daily to write, modify, test, and debug code. This interaction data can continuously feed back into Grok and Cursor’s self-developed models. In turn, SpaceX’s Colossus computing power can reduce Cursor’s reliance on third-party models like OpenAI and Anthropic, driving down inference costs. Morgan Stanley predicts that as Grok and Composer take on more inference tasks, Cursor’s currently poor gross margins could turn positive this year and rise to just over 60% by 2030. Next, the market will focus on Q3 disclosures about Cursor, as well as updates on Grok 4.6, 4.7, Grok 5, and the next-gen Composer. If Cursor can truly grow from around $4 billion ARR this year to $8 billion by year-end, while maintaining its enterprise penetration speed, then the most undervalued part of SpaceX might no longer be its rockets or Starlink, but its quietly emerging enterprise AI platform.