SpaceX stock tumbles 23% from its high, as average investor sees gains wiped out

https://www.nbcnews.com/business/corporations/spacex-stock-investor-losses-rcna351260

Just 10 days after the company’s blockbuster IPO, buyers of its initial public shares are in the red.

Shares of Elon Musk’s SpaceX tech conglomerate plunged 16% Monday to close below their price on June 12, the date of the company’s massive initial public offering.

It was its third-straight trading day of declines for a company that just 10 days ago orchestrated the largest IPO ever.

At Monday’s closing price of $154.60, the average investor who bought SpaceX shares on the open market after its debut has now seen most of their gains disappear, market data shows.

481 points · 82 comments · view on lemmy.world

82 Comments

njm1314@lemmy.world · 146 pts · 55d (9 replies)

$154.60 is still massively inflated from what the actual value should be.

panda_abyss@lemmy.ca · 68 pts · 55d (4 replies)

Which is somewhere near $20

CharlesDarwin@lemmy.world · 46 pts · 55d (2 replies)

Assuming they stop bleeding money.

tomiant@piefed.social · 4 pts · 54d (1 reply)

Nothing tax payer money can't fix. Somehow. Just you watch.

CharlesDarwin@lemmy.world · 1 pts · 54d

I mean, Tesla got a huge boost from the government, too, so....

Buffalox@lemmy.world · 3 pts · 54d

Haha that's still to much. The value is based on XAI hype, and XAI is really next to worthless. They are doing everything after everybody else did it, and then they do it worse. It's so bad they have no customers, and instead sell their server capacity to other AI companies. And the value of that will diminish fast, as better and cheaper hardware is developed.

its_kim_love@lemmy.blahaj.zone · 31 pts · 55d

Just wait until the nesting shares expire. It will crater.

Kyle_The_G@lemmy.world · 12 pts · 55d (1 reply)

see virgin galactic chart lol

Buffalox@lemmy.world · 10 pts · 54d

Wow that is only worth 3 ‰ of what it was 5 years ago. 🤣🤣🤣

lemongarlic@lemmy.world · 6 pts · 55d

Most of spacex is privately owned, there is much more demand than real supply of the stock so it's overvalued. As more former SpaceX employees current private investors and short term investors sell the price will slowly go down.

wirebeads@piefed.ca · 95 pts · 55d (3 replies)

Keep tumbling. Then fold Tesla and all his stupid other companies into it and bankrupt it all.

Fuck musk and anyone that supports this filthy grifting pile of limp dicked shit that resembles a human being.

ZC3rr0r@piefed.ca · 45 pts · 55d

You missed the change to add the qualifier "Nazi" to that, so let me correct that real quick: Fuck Musk and anyone that supports that Nazi.

tomiant@piefed.social · 1 pts · 54d (1 reply)

Nationalize it.

vaultdweller013@sh.itjust.works · 1 pts · 54d

Don't bother, snipe the talent that is actually competent and let the sites rot. Then give Nasa the resources to build their own manufacturing capacity.

FishFace@piefed.social · 83 pts · 55d

Lol, lmao even

PattyMcB@lemmy.world · 65 pts · 55d (1 reply)

Oh... who could've possibly seen that coming?!

Kraiden@piefed.social · 26 pts · 55d

It's almost as if the price was artificially pumped and the stocks are now being dumped in order to take advantage of the unscrupulous...

Semi_Hemi_Demigod@lemmy.world · 52 pts · 55d

People bought a space stock and found out it was just so Elon could pay off the loans he took out to buy Twitter

bacon_pdp@lemmy.world · 40 pts · 55d (1 reply)
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CharlesDarwin@lemmy.world · 12 pts · 55d

This is the biggest IPO in history. Would not surprise me.

Pat_Riot@lemmy.today · 36 pts · 55d (3 replies)

I mean, wasn't this the plan all along? Makia bunch of theoretical money off the IPO and just fuck you if you were foolish enough to waste your money buying in?

rafoix@lemmy.zip · 24 pts · 55d (2 replies)

The plan was to get retail investors (idiots) to pay loans and the original investors with cold hard cash.

Now the retail (idiots) investors own stock in a business that makes no money and is burning piles of money monthly.

tempest@lemmy.ca · 12 pts · 55d (1 reply)

No way man, they're gonna make space datacenters...

You know, the things famously resource intensive massive but in space. They can't lose.

obviouspornalt@fedinsfw.app · 14 pts · 55d

don't forget that as hard as it is to get massive amounts of electricity into a space vehicle, it's even harder to radiate heat away into a vacuum. space may be cold, but it doesn't conduct or absorb heat well.

thebasementcakes@leminal.space · 33 pts · 55d

Rug pull for the Elon buddies

oakey66@lemmy.world · 20 pts · 55d (1 reply)

lmao. literally everyone that explicitly bought this stock to ride the wave deserves this. everyone who’s 401k os tethered to this stock doesn’t.

LodeMike@lemmy.today · 10 pts · 55d

There's 5 more days till the deadline for that

D_C@sh.itjust.works · 14 pts · 55d (6 replies)

Oh no, how terrible for them.
I super duperydo hope the people that supported the Nazi trillionaire Elon Skum get their money back!!!

n1ck_n4m3@lemmy.world · 9 pts · 54d (5 replies)

The overwhelming majority of individuals in the US with 401ks were forced to buy SpaceX stocks through target date funds, mutual funds, and indexes, because 8 different funds have >10% of their entire stock as SpaceX, and 4 of those have >20% of their stock as SpaceX. This was all a fucking grift and Americans who have done what they were supposed to by saving will pay the price. Fuck Elon Musk sideways, I will pop a bottle of champange when he dies and celebrate it as a yearly holiday.

PodPerson@lemmy.zip · 6 pts · 54d

Thank jeebus that the S&P decided to maintain sanity and not change their standards to allow them in the index early. Shame that target date funds bought into the hype.

NotMyOldRedditName@lemmy.world · 3 pts · 54d

Pretty sure that date to buy has not happened yet. It wasnt a day 1 thing, it was something like inclusion after 15 days.

People are trying to front run it, to make profit when it happens.

Edit

https://finance.yahoo.com/markets/stocks/articles/spcx-etfs-index-funds-buy-050100941.html

Hasn't happened yet.

bitjunkie@lemmy.world · 2 pts · 54d

Joke's on them, I can't afford to save for retirement

FoxtrotDeltaTango@sh.itjust.works · 2 pts · 54d

Yeah, I too will buy and pop a bottle of champagne if Elon muskrat dies

HubertManne@piefed.social · 1 pts · 54d

this is what scares me. those funds have to have a clause to not buy anything that does not use a traditional stock setup of voting common stock and at most the premium stock that can't vote although im not sure preferd stock should have ever been a thing.

CharlesDarwin@lemmy.world · 13 pts · 55d (2 replies)

I mean, Tesla has a ridiculous P/E ratio, but seems to make some money (even if propped up by government policy here to keep competitors at bay and so on). If you look up SpaceX P/E ratio, you will get a good lolz:

https://www.financecharts.com/stocks/SPCX/value/pe-ratio

The pe ratio for Space Exploration Technologies (SPCX) stock is -560.61 as of Thursday, June 18 2026. A negative value means this company has been losing money. The pe ratio is not a useful metric when the company is not profitable. The p/e ratio is calculated by taking the latest closing price and dividing it by the diluted eps for the past 12 months.

People are talking about SpaceX buying Tesla? Anyone reminded of AOL buying Time Warner?

AbidanYre@lemmy.world · 6 pts · 55d (1 reply)

Anyone reminded of AOL buying Time Warner?

I remember xAI merging with Twitter. Does that count?

CharlesDarwin@lemmy.world · 2 pts · 54d

https://www.linkedin.com/pulse/aol-x-time-warner-worst-merger-business-history-parth-zala-seyhf

AOL was treated like a superstar during the dot-com boom with almost $8 billion in revenue, $2 billion in operating profit, and a $200 billion valuation built mostly on hype and dial-up subscriptions.

Time Warner, on the other hand, was the real giant - more than three times the revenue, strong cash flows, CNN, HBO, Warner Bros., and decades of tangible media assets.

And yet… AOL used its inflated stock to buy Time Warner. The stronger, more profitable company ended up with just 45% of the combined entity, while AOL (with barely any hard assets) took control.

BigMacHole@thelemmy.club · 13 pts · 55d

It's a GOOD thing Elon Musk didn't FORCE everyone in the US to INVEST their Retirement Savings into this TUMBLE!

fonix232@fedia.io · 13 pts · 55d (2 replies)

Shoulda shorted it instead

ShawiniganHandshake@sh.itjust.works · 11 pts · 55d (1 reply)

Short selling has unlimited downside and the market can stay irrational longer than you can stay solvent.

Aceticon@lemmy.dbzer0.com · 6 pts · 54d

Best use put options to get limited (in that the maximum you can lose is the money you invested, not a cent more) exposure to falling prices.

gravitas_deficiency@sh.itjust.works · 12 pts · 55d

captainlezbian@lemmy.world · 12 pts · 54d

Who could have seen that coming?

malloc@lemmy.world · 11 pts · 55d

Put options have been printing nicely.

sp3ctr4l@lemmy.dbzer0.com · 10 pts · 54d

I mean really, why bother learning from history, it's not that deep bro.

tal@lemmy.today · 9 pts · 55d

https://finance.yahoo.com/markets/stocks/articles/spcx-etfs-index-funds-buy-050100941.html

The iShares Russell 1000 ETF (IWB) and Invesco QQQ Trust (QQQ) are expected to hold SPCX starting on June 29 and July 7, respectively.

Well, probably good news for people who own those index funds, since they won't ride SPCX down, at least to some extent. Their worst case scenario would have been the peak holding until they bought in.

bitjunkie@lemmy.world · 9 pts · 54d

It was a grift? gasp

Captainautism@lemmy.dbzer0.com · 9 pts · 55d (6 replies)

Anyone know what the deal is with the media saying his stock is somehow tied to 401Ks?

NotAnonymousAtAll@feddit.org · 21 pts · 55d (2 replies)

There was some concern that it would very quickly get included in relevant indices due to its size. That would trigger a bunch of funds that are based on these indices to have to automatically buy their stock to keep matching the index. Those specific funds are often included in 401K plan.

Last I heard that got blocked by the relevant authorities requiring a company to actually be profitable as a prerequisite to being included in these indices.

Edit/PS:

S&P blocked them. Nasdaq and FTSE did not.

https://www.cnbc.com/2026/06/05/spacex-blocked-from-early-us-benchmark-index-entry-as-sp-reaffirms-existing-rules.html

Edit2: If you are invested in any index funds and don't want Space X to be auto-included look into moving your money into a fund with Environmental, Social, and Governance (ESG) inclusion criteria. Governance at Space X is really bad. But you should be aware that does not remove exposure to Musks bullshit completely, because Tesla does pass the ESG checks.

CharlesDarwin@lemmy.world · 8 pts · 55d (1 reply)

Last I heard that got blocked by the relevant authorities requiring a company to actually be profitable as a prerequisite to being included in these indices.

I didn't see where it landed, either. Man, I sure hope it was rejected. It's losing money.

My understanding was that it would push SPCX into NASDAQ, skipping most of the process that is usually done, and that if your 401K had exposure to NASDAQ, then you'd be investing in SPCX....

NotMyOldRedditName@lemmy.world · 3 pts · 54d

Its going into the nasdaq 100 soon, but not all funds with exposure to nasdaq follow that.

Its good S&P said no, that would have been much worse.

EndOfLine@lemmy.world · 13 pts · 55d (2 replies)

It used to be that new stocks with a high enough value had to wait several months to a year before they could be included into index funds (index funds are collections of stocks that try to mirror the performance of certain markets). Recent rule changes removed that waiting period so some (maybe even most, though not all) index funds bought SpaceX, automatically, within days of it coming on the market because that's just how they work. So if SpaceX tanks, many retirement plans will take a hit.

Captainautism@lemmy.dbzer0.com · 1 pts · 55d

Oh, damn. Thank you for the explanation!

NotMyOldRedditName@lemmy.world · 1 pts · 54d

Nobody has bought it yet. It starts on June 29th onwards with a few dates after for different funds.

Tylerdurdon@lemmy.world · 8 pts · 55d

Buffalox@lemmy.world · 8 pts · 54d (5 replies)

That's OK people buying stock in a near worthless company should have expected this.

HubertManne@piefed.social · 2 pts · 54d (4 replies)

its not near worthless but that stock setup is wack.

Buffalox@lemmy.world · 6 pts · 54d (3 replies)

More than 90% of the value is because of AI, and XAI is shit. The XAI is so shit it will probably drag down the real value SpeceX has from rocket government contracts and Starlink.
So yes it is near worthless, and throwing 60 billion from the IPO out on Cursor, means most of the 80 billion they got is gone too.

HubertManne@piefed.social · 4 pts · 54d

yeah ai is going to wreck a lot of funds.

NotMyOldRedditName@lemmy.world · 0 pts · 54d (1 reply)

The 60b to cursor was all stock, they didnt lose a penny of their cash.

Buffalox@lemmy.world · 0 pts · 54d

Yes they did, stock is not cash, it's assets.
If that assets needs to be turned into cash, they could lose. and although the stock is valued at 60b there is no way Cursor is worth that.

TronBronson@lemmy.world · 7 pts · 55d

Yeah, as soon as Vanguard had to buy this shit it started crashing. It will probably go up by the time QQQ buys in.

Armok_the_bunny@lemmy.world · 7 pts · 55d

Wow. I expected the hype to falter and the price to collapse, but even I didn't expect it to happen this quickly. I thought it would take another few months at least.

monkeyslikebananas2@lemmy.world · 7 pts · 55d (5 replies)

There’s a reason they say not to put all your eggs in one basket. space x, twitter and xai are a giant basket now. Add tesla in there and watch the popcorn futures.

pennomi@lemmy.world · 5 pts · 55d (4 replies)
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village604@adultswim.fan · 8 pts · 55d

The US government is the only reason Musk isn't in prison.

NotMyOldRedditName@lemmy.world · 2 pts · 54d (2 replies)

The US government couldn't do what they did. Nationalization of it wouldn't continue the (at least pre xai) trajectory. There might be more ways to exert control / influence though.

SLS has been a mess.

CharlesDarwin@lemmy.world · 2 pts · 54d (1 reply)

The US government couldn’t do what they did.

No?

NotMyOldRedditName@lemmy.world · 1 pts · 54d

The government is too risk adverse to take the massive long shots that the private companies can take, and would have to answer to their constituents on all the failures.

NASA would never try to make something like Starship. The world didn't even think you could make a properly re-usable first stage rocket.

They would inherit the existing technology, and then slowly flatline back to their current state of operation.

Edit: Just to further make the point - SpaceX isn't just trying to make a reusable rocket with starship, they're already building a massive production line under the assumption it's going to work. They want to make up to a 1000 of these a year and are building towards that already. Go try and pitch that to congress for funding.

FoxtrotDeltaTango@sh.itjust.works · 5 pts · 54d

Lol, I bought myself some puts and shorts on spacex

cmbabul@slrpnk.net · 4 pts · 55d (4 replies)

I knew I should’ve fucking shorted it

abbadon420@sh.itjust.works · 5 pts · 55d (3 replies)

Can you short an IPO? You're prohibited from selling for the first month or so, isn't it?

NotMyOldRedditName@lemmy.world · 1 pts · 54d

You could have shorted it with options the Tuesday after the IPO.

Ive wanted to do it on many IPOs after the the first spike, which in this case was when they hit 215+, as they all follow this pattern but im never confident enough to do it since the market is whack.

But id have made money every time I wanted to so far if I did.

Edit: it'll almost certainly go down more as the insider lockout period ends as well.

cmbabul@slrpnk.net · 1 pts · 54d (1 reply)

Yeah you right about the specifics on the market rules, I still maintain that if it could have been shorted it should’ve been.

abbadon420@sh.itjust.works · 1 pts · 54d

I think you're the reason that rule exists haha

taxon@lemmy.world · 4 pts · 54d

Fishnoodle@lemmy.world · 3 pts · 55d

SpaceX is going to end up boosting my Rocketlab stocks to a solid $250 a share within the next 3 years. Then again, that was going to happen without Elons dipshit rugpull.

There were several viable space stocks to invest in, that aren't run by technofacist Nazi's who will demand a 500 billion a year paycheck. If you chose to invest heavily in spacex you're an incredibly hopeful person who's very liberal with your money. You're also assuming the EU and Ukraine have no ambitions to ever launch anything into orbit.

GSat, RKLB, ASTS and others to the rescue

oats@piefed.zip · 3 pts · 55d

Oh no, how terrible!

cybervseas@lemmy.world · 3 pts · 55d

Someone I know in private wealth management told me she was very busy last week trying to find wealthy people whose funds she manages who would be looking to participate with spacex. I wonder if lack of interest amongst the wealthy class is related to this drop since IPO.

datavoid@sh.itjust.works · 2 pts · 54d (2 replies)

It's honestly too early to say SpaceX will fail. I hope it does poorly enough that they remove Elon, but realistically that will never happen.

When he offered to buy Twitter for a massive amount everyone thought he was an idiot who was wasting his money, and we all know how that turned out. Even in spite of the AI bullshit SpaceX is hiding, I'd say there is a chance they fluke through it and end up massively positive.

postmateDumbass@lemmy.world · 1 pts · 54d

They are one of a few that can put stuff in low orbit.

And one of 2 that can get to higher orbits.

They will have plenty of launches.

NotMyOldRedditName@lemmy.world · 1 pts · 54d

They can't remove him, he owns the majority of voting shares.

They would need to do multiple more offerings to dwindle that down, and id be shocked if he ever gave up enough shares to be at risk.

newton@feddit.online · 1 pts · 54d

Don't panic ,its fine

SabinStargem@lemmy.today · 1 pts · 54d

Honestly, if it was just SpaceX + Starlink as the IPO, I might be interested in picking some up. A healthy business is good business, especially when it is useful to society.

Grok is a poison pill, because it is a bad AI that isn't in a healthy place. Quite bluntly, Chinese offerings are superior to their American counterparts, because they aren't poisoned by bad economics and are very performant on local hardware. On top of that, the IPO is suspect because it circumvented the rules that were intended to protect investors from bad outcomes.

All in all, this thing stinks like hell, and Musk is a fish's head.