Wall Street chatter about a possible merger between rocket maker SpaceX (SPCX) and EV giant Tesla (TSLA) has been increasing in recent weeks, with speculation about what such a deal would look like. "It's not so easy. Basically, SpaceX would have to acquire Tesla. We think it'd be an all-stock deal," Tom Narayan, RBC Capital Markets lead equity analyst, told Yahoo Finance. Currently, CEO Elon Musk controls 85% of SpaceX voting rights and 20% for Tesla. "There would have to be a pretty strong premium in order to acquire Tesla," Narayan said. "We think something like a $480 stock price for Tesla; it's our price target.
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