- SpaceX's IPO was priced at $135 per share on 12 June, marking the largest initial public offering (IPO) of all time.
- On its first day of trading, shares closed at $160.95 after surging from the initial price.
- In the second week, the share price hit an intraday high of $225.
- On 16 June, SpaceX announced the acquisition of AI startup Cursor in a $60 billion all-stock deal.
- A price cut by Starlink in Memphis caused an 8% drop in SpaceX shares.
- After being added to the Nasdaq100 index on 7 July, SpaceX shares fell 4.4%.
- At the end of its first month, shares were trading around $145, which is 35% below the peak.
- Morgan Stanley initiated coverage with a price target of $300.
- Analyst Snyder predicts a further dip to $115 based on the company's performance.
SpaceX's IPO, which launched on June 12, initially soared to a record high of $225 but has since plummeted to around $145, marking a 35% decline from its peak. Analysts are raising alarms about the company's future, with predictions of further drops to $115 per share due to ongoing operational losses.1379
The company, co-founded by Elon Musk, had priced its shares at $135, but they quickly surged to $150 on the first day, closing at $160.95. This made SpaceX's IPO the largest in history. However, the excitement has waned, with shares falling 4.4% after being added to the Nasdaq100 index on July 7, despite the index's overall decline of 1.7%.26
Market analysts, including those from Morgan Stanley, suggest that the current dip may be temporary, projecting a target price of $300, a 33% increase from its highest trading price. Yet, concerns linger as SpaceX operates at a loss, reporting $18bn in revenue last year. The company's recent acquisition of AI start-up Cursor for $60bn in stock has also raised eyebrows amid its fluctuating stock performance.48
As Snyder noted, “If you bought around the first tick you're definitely underwater,” indicating the volatility and uncertainty surrounding SpaceX's stock trajectory.
“Morgan Stanley analysts initiated coverage with a $300 price target, suggesting a 33% upside from the stock's peak. Meanwhile, SpaceX's acquisition of AI startup Cursor in a $60bn all-stock deal highlights aggressive expansion, though the company operates at a loss with $18bn in annual revenue.”
