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SpaceX shares slip after IPO frenzy cools
SpaceX priced at $135 on June 12, surged to as high as $225, then was trading around $145 by the end of its first month.
SpaceX’s stock has lost momentum after a sharp debut, with BBC Business reporting that investors have swung from early celebration to growing concern in its first month as a public company. The company began trading for individual investors on June 12, after setting an initial share price of $135, only for the stock to jump to $150 that first day and close at $160.95.
In the following week, shares climbed further, reaching an intraday high of $225 and briefly surpassing Amazon and Microsoft on total market value, the outlet said. Analysts attributed much of the initial excitement to Elon Musk’s ability to draw attention, alongside investors viewing SpaceX through an artificial intelligence lens rather than its current operating profile.
As enthusiasm has faded, BBC Business noted that the company’s core revenue drivers remain tied to rocket launches and telecommunications satellites, including Starlink. It pointed to Starlink cutting prices in the Memphis, Tennessee area amid local concerns about a large data center project, a move that sent SpaceX shares down 8% on the day.
The article said the stock has continued to fall even amid broader volatility in tech shares, dropping 4.4% on July 7 when it was added to the Nasdaq 100, even though the index closed down 1.7%. By the end of its first trading month, shares were selling at around $145, about 18% below the first-day high and 35% below the stock’s peak so far, leaving some early retail buyers facing potential losses.
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