Key Points
- SpaceX (SPCX) shares declined over 6% on Thursday, marking the second consecutive day of losses following a three-session rally
- Despite the recent retreat, shares continue trading more than 30% higher than the $135 IPO offer price
- Retail traders had been accumulating SPCX shares aggressively following the market debut, with net buying exceeding $300 million across three trading sessions
- Investment bankers are organizing a bond issuance of no less than $20 billion, marking SpaceX’s inaugural investment-grade dollar bond
- Other space industry equities experienced declines as well, with AST SpaceMobile falling approximately 7%
SpaceX (SPCX) shares ended Thursday’s regular session down over 3%, with after-hours trading pushing losses beyond 6% to $178.50. The company’s shares had jumped more than 19% during the initial trading day following last Friday’s public offering, starting at $150 compared to the $135 offering price.
Space Exploration Technologies Corp., SPCX
Based on the present trading level, SpaceX commands a market capitalization of approximately $2.52 trillion. A continued downward trajectory could eliminate over $150 billion in valuation.
The downturn follows three consecutive trading sessions dominated by retail investor accumulation since the company’s stock market introduction. According to Vanda Research data, SPCX ranked as the top stock purchased by individual investors for three straight days.
“Retail investors have bought roughly the same amount of SPCX over the last 3 sessions as they have bought NVDA, GOOGL, AMZN, MSFT, META, QQQ and SPY combined,” Vanda said.
That comparison is truly remarkable.
Retail participation notably diminished on Thursday, apparently pressuring the stock even as broader market indices posted gains for the session.
Natural Correction Following Historic Debut
IPOX Schuster analyst Kat Liu characterized the retracement as a natural development considering the unprecedented scale of the public offering.
“Given the magnitude of the IPO and the strong initial performance, some degree of profit-taking is not surprising,” Liu said.
She added: “This has been a particularly eventful and shortened trading week for the largest IPO in history.”
Thursday’s decline ended a three-session advance that had temporarily elevated SpaceX among the five most valuable corporations globally, crossing the $2 trillion threshold.
Additional aerospace-focused stocks similarly declined Thursday. Rocket Lab and Planet Labs each fell about 3%, while AST SpaceMobile tumbled roughly 7% and Intuitive Machines decreased around 3%.
Upcoming Bond Issuance and Cursor Deal Take Center Stage
Beyond price movement, two significant corporate developments are capturing market participants’ focus.
Bloomberg reported Thursday that investment banks are organizing investor presentations potentially beginning next week for a prospective bond offering anticipated to reach at least $20 billion. This transaction would represent SpaceX’s maiden investment-grade dollar-denominated bond sale and targets refinancing a bridge facility maturing in 2027.
Earlier this week, SpaceX announced plans to purchase Anysphere — the company behind AI-powered coding platform Cursor — for $60 billion in equity, representing a strategic expansion into the enterprise artificial intelligence software sector.
Vanda Research observed that SPCX has begun exhibiting trading characteristics similar to a “Magnificent Seven” stock, referencing its elevated retail participation and price volatility.
Given the relatively limited publicly traded float and premium valuation, market strategists and fund managers had previously anticipated early-stage price instability. Thursday’s trading session validated those expectations.
SPCX finished Wednesday at $185.00 before the after-hours decline brought it down to $178.50.
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