- SpaceX shares have tumbled, putting the company on track to wipe out over $1 trillion in market value from its all-time high.
- The stock fell as much as 4.6% to $125.13 per share, giving the company a total value of $1.65 trillion.
- Gina Rinehart's estimated A$700m profit from the SpaceX IPO has been wiped out as the stock price continues to dip.
- SpaceX's market value stood at $2.64 trillion at the close on June 16, its third day of trading.
- The tech company has steadily fallen back to a record low market value of US$1.72 trillion.
- SpaceX's share price has fallen in seven of the last eight trading sessions, attributed to easing euphoria.
- Rinehart reportedly lost a US$500m (A$714m) paper gain from the stock's peak.
- On Thursday, SpaceX shares closed nearly 3% below the debut price, implying Rinehart lost a further US$30m (A$43m) on paper.
- Market analyst Tony Sycamore stated that Rinehart would not be worried by her lost profits, emphasizing a long-term investment perspective.
- CommSec reported that 28,000 people applied to buy SpaceX shares, indicating a high level of interest.
SpaceX's stock has seen a dramatic decline, erasing over $1 trillion in market value from its all-time high of $2.64 trillion. The shares fell as much as 4.6% to $125.13, bringing the company's total value down to $1.65 trillion.124
Gina Rinehart, a prominent Australian investor, has been significantly affected by this downturn. Her estimated A$700 million profit from the IPO has been wiped out as the stock price continues to dip. Rinehart's losses include a US$500 million (A$714 million) paper gain from the stock's peak, with an additional US$30 million (A$43 million) lost on paper following the latest trading session.
Market analyst Tony Sycamore noted that Rinehart is likely not overly concerned about her losses, stating, “You’re looking to invest in SpaceX for the long term, you’re backing the man.” Rinehart has previously praised Elon Musk, saying he “excels in every regard.” Despite the current volatility, 28,000 Australians applied to buy SpaceX shares, indicating strong interest in the company.
The tech sector's overall performance has been shaky, with SpaceX's shares falling in seven of the last eight trading sessions. Short sellers have profited by US$3.88 billion (A$5.55 billion) as the market adjusts to the new reality of tech stocks.6
“The stock fell as low as $125.13, bringing its market value to $1.65 trillion, down from a peak of $2.64 trillion just weeks ago. Analyst Tony Sycamore said long-term investors like Rinehart are "backing the man" and not concerned by the short-term decline.”
The Guardian
