SpaceX Stock Falls Below IPO Price as Musk Fortune Drops Below Trillionaire Mark
SpaceX shares fell below their $135 IPO price for the first time, putting early buyers at or near a loss and turning the company’s record setting market debut into a test of investor confidence.
Current market data showed SPCX trading near $132.60 on Thursday, below the price set in the company’s public offering. The move adds pressure to a stock that had surged after its June debut before sliding from its post IPO peak.
The selloff also cuts into Elon Musk’s paper fortune. Forbes listed Musk’s real time net worth at about $856.3 billion on July 16, keeping him the world’s richest person but below the trillionaire level reached during SpaceX’s post IPO rally.
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The bigger market issue is what happens next. Reuters reported that upcoming lockup expirations could make hundreds of millions of shares eligible for sale after SpaceX’s first earnings report, a potential supply shock if early investors or insiders decide to cash out.
Short sellers are already benefiting. Reuters reported that bearish bets against SpaceX have produced about $8.7 billion in paper profits since the IPO, with nearly half of available shares on loan.
Social reaction has followed the money. Business Insider reported that SpaceX skeptics are taking a victory lap, while Reddit and Stocktwits discussions show retail traders split between viewing the fall as a predictable IPO comedown and seeing it as proof the valuation was too aggressive.
The next test is whether SpaceX can shift attention back to earnings, Starlink growth, launch execution, and Starship progress before more shares become tradable.
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