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SpaceX shares plunge after Starship launch scrubbed and valuation drops
SpaceX stock traded at about $125 per share as of Friday afternoon, down 43% from its $225 record high on June 16, after it canceled its 13th Starship test flight due to an engine ignition failure, Yahoo Finance reported.
SpaceX’s stock has fallen sharply since mid-June, with the company losing more than $1 trillion in market capitalization as traders reset expectations after a Starship launch scrub, Yahoo Finance reported.
As of Friday afternoon, the rocket and AI company traded around $125 per share, down 43% from its record high of $225. The shares also fell below the original listing price for the first time on July 15, and SpaceX’s market value peaked at about $2.7 trillion on June 16.
The decline accelerated after SpaceX pulled the plug on its 13th Starship test flight on July 16, citing an engine ignition failure. The 400-foot tall reusable rocket is a central part of Elon Musk’s plan to significantly reduce the cost of space travel, and Musk said on X that the next launch attempt would likely be in a few days, with timing early next week.
Yahoo Finance also noted that the stock’s volatility is playing out alongside heavy short interest, with short-sellers taking on about one-third of SpaceX’s publicly available shares. In addition, SEC filings show about 95% of shares are subject to staggered lock-up agreements that restrict employee and early investor selling for set periods.