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SpaceX Shares Fall Below IPO Price

The slide under the issue price raises new doubts about whether the company's AI-in-space growth story can justify its roughly $1.77 trillion valuation.

Overview

  • The stock dropped to about $133 on Wednesday, trading under the $135 IPO price and erasing much of the early post‑IPO gains that briefly pushed the share price above $200.
  • SpaceX's June offering raised roughly $75 billion and placed the company's market value near $1.77 trillion at the IPO price, a level far above its current financial results.
  • Last year the company reported a roughly $4.94 billion loss on $18.67 billion of revenue, highlighting that the headline valuation is driven more by future expectations than by present earnings.
  • In its prospectus SpaceX pitched a greater-than-$26 trillion AI and infrastructure market and floated space-based, solar-powered data centers as a core growth idea, but experts warn of huge build costs, cooling challenges, and radiation risks to electronics.
  • A very small public float (about 4% of shares) and heavy retail buying amplified early volatility, and an upcoming Starship test is being watched as a potential further market stress point with wider implications for other high-profile AI and tech IPOs.