S&P Global Upholds Index Rules as SpaceX Readies $75B IPO at 96× P/S
SPGI•SpaceX’s planned $75 billion IPO on June 12, 2026 carries a 96 times P/S ratio and staggered lockup structure favoring insiders, raising concerns over passive fund inflows. S&P Global opted not to revise its S&P 500 inclusion criteria, preserving index consistency and mitigating forced buying pressure.
1. S&P Global Maintains Inclusion Criteria
S&P Global maintained its existing S&P 500 index inclusion criteria, opting not to adjust rules for SpaceX despite suggestions that the company was being rushed into the public market. Executives emphasized the importance of consistency and flagged potential liquidity issues, noting that a one-off exception could undermine index reliability. Strategists praised the decision as a commitment to transparent and predictable index management.
2. SpaceX IPO Structure and Valuation Concerns
SpaceX is preparing a $75 billion IPO on June 12, 2026, featuring a 96× price-to-sales ratio and staggered lockup periods that heavily favor insiders. This arrangement could limit upside for retail investors and impose significant buying demands on passive index-tracking funds if included. Ongoing operational losses further cast doubt on the sustainability of this lofty valuation.
