SpaceX IPO Priced at $135 Aiming to Raise $75B with 19% Debut Gain
TFC•Truist’s study of 30 large technology IPOs since 2009 found average one-year peak losses of 55% and over half trading below offer price after 12 months. SpaceX priced its IPO at $135 to raise $75B at a $1.77T valuation and could see a 19% debut gain but faces average three-year returns of -21%.
1. Historical IPO Volatility
A Truist Advisory Services analysis of 30 large technology IPOs since 2009 reveals significant early trading swings, with an average maximum drawdown of 55% in the first year and more than half of those offerings trading below their original price after 12 months.
2. Extended Return Patterns
An IPO research expert’s compilation spanning over 9,200 offerings since 1980 shows average market-adjusted returns of -21% over three years for investors who bought at the closing price on day one, highlighting the long-term risks of major public listings.
3. SpaceX IPO Specifics
SpaceX set its IPO offer price at $135 per share to raise $75 billion, creating a post-offering valuation of $1.77 trillion. Initial estimates point to a potential 19% first-day gain, but the company faces the historical trend of significant volatility and negative longer-term returns.
