Redwire Shares Drop 4% After SpaceX Cuts IPO Valuation Target to $1.8 Trillion
RDW•Redwire shares fell 4% after SpaceX lowered its IPO valuation target to $1.8 trillion from over $2 trillion. The slump hit alongside other space technology stocks despite RDW's recent government and defense contract wins.
1. Market Reaction
Redwire shares declined 4% in overnight trading as investors pared back gains in the space sector, with AST SpaceMobile down 11%, Rocket Lab USA and Intuitive Machines each slipping about 2%. The sector’s pullback followed the excitement around SpaceX’s IPO prospectus.
2. SpaceX IPO Valuation Revision
SpaceX reportedly revised its IPO valuation target down to $1.8 trillion from earlier estimates above $2 trillion, while still planning to raise up to $75 billion. Formal marketing may begin in early June, with pricing expected by mid-June.
3. Redwire Contract Portfolio
Redwire has recently secured multiple government and defense contracts, bolstering its growth outlook in satellite components and space infrastructure. These agreements include payload and sensor projects valued in the tens of millions.
