SpaceX Plunges After 60% Post-IPO Rally from $1.77 Trillion Peak
SpaceX stock surged over 60% IPO to a $1.77 trillion peak market capitalization but has since plunged three days in a row, erasing most gains after a bond issuance spooked investors. The company remains unprofitable at three times its pre-IPO valuation and faces doubts over its orbital monopoly and AI prospects.
1. IPO Performance and Rally
SpaceX debuted with a market capitalization of approximately $1.77 trillion and saw its stock rise more than 60% in the days following its IPO, reflecting strong investor appetite for space and technology exposure.
2. Consecutive Stock Plunge
Over the past three trading sessions, shares have declined sharply, with a bond issuance in the secondary market cited as a key catalyst that spooked investors and reversed most of the initial post-IPO gains.
3. Unprofitability and Valuation
Despite its lofty market value, SpaceX is currently unprofitable, trading at roughly three times its pre-IPO valuation, which has raised concerns about the sustainability of its orbital services narrative and premium pricing.
4. Analyst Valuation Outlook
Some analysts now project SpaceX could reach a $5.3 trillion valuation by the end of 2027, but they also warn of mounting AI risks and growing skepticism over its long-term growth trajectory.
