Shares of Elon Musk’s SpaceX, which made a record-breaking debut on Wall Street earlier this month, have failed to sustain their initial momentum, erasing all of their post-listing gains. The sharp correction has pushed IPO investors into the red and clouded the stock’s near-term outlook amid heightened volatility in technology stocks.
The initial euphoria surrounding the stock has faded, dragging it 32% below its post-listing peak to around $153, just above its opening price on the company’s trading debut on June 12. Nevertheless, the stock still remains 13.3% above its IPO price.
In the previous session, the stock slipped below the $150 mark, touching an intraday low of $148.51. Despite the recent correction, it remains the sixth-most valuable company in the United States. Last week, it briefly surpassed the market capitalisations of Amazon and Microsoft.
Billed as one of the largest IPOs in US stock market history, SpaceX received an overwhelming response from investors and debuted at $150, representing an 11% premium to its issue price of $135. The rally extended over the following sessions, with the stock soaring to $225, lifting its market valuation to $2.7 trillion.
The strong investor response also prompted SpaceX’s underwriters to exercise the overallotment option, increasing the total proceeds from the offering to $85.7 billion. The rally also propelled Elon Musk’s net worth past the $1 trillion mark, making him the first person to achieve that milestone.
Meanwhile, just two weeks after its IPO, the Elon Musk-led company returned to the debt market on June 22, announcing an offering of senior unsecured notes. Sources told CNBC that the company initially planned to raise $20 billion before increasing the size of the offering to $25 billion.
The bond offering also appeared to be well received, attracting strong investor demand, according to the report.
Set to join the Nasdaq-100
SpaceX is poised to become one of the fastest companies ever added to the Nasdaq-100 Index, a move that is expected to trigger a fresh wave of demand from passive investment funds.
Nasdaq announced after the close on June 26, 2026, that SpaceX qualifies for inclusion in the technology-heavy benchmark index.
The move is significant because newly listed companies typically have to wait months or even years before becoming eligible for inclusion in a major stock index. However, Nasdaq recently amended its eligibility rules, allowing companies such as SpaceX to qualify much earlier than under the previous framework.
If all eligibility requirements continue to be met, index funds and other investment products tracking the Nasdaq-100 will begin purchasing SpaceX shares after the market closes on July 6, with the stock officially joining the index before trading begins on July 7, CNBC reported.
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