Spyke

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

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.

SpaceX stock tumbles 23% from its high, as average investor sees gains wiped outhttps://www.nbcnews.com/business/corporations/spacex-stock-investor-losses-rcna351260Open linkView original on lemmy.world
lemmy.world

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

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tomiantreply
piefed.social

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

4

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.

3

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

9

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.

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piefed.ca

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.

94

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.

44

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.

1

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...

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lemmy.world

I am once again reminded that Elon Musk literally said that if Trump didn’t win the election, that he would be going to prison. I think Enron will have been a smaller scandal than what is now unfolding

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lemmy.today

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?

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rafoixreply
lemmy.zip

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.

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tempestreply
lemmy.ca

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

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

12

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.

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lemmy.world

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

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Buffaloxreply
lemmy.world

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.

6

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.

0
D_C
sh.itjust.works

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

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n1ckn4m3reply
lemmy.world

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.

9

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.

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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.

1
lemmy.world

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.

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

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lemmy.world

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?

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AbidanYrereply
lemmy.world

Anyone reminded of AOL buying Time Warner?

I remember xAI merging with Twitter. Does that count?

6

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.

2

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.

6

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

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feddit.org

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.

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lemmy.world

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....

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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.

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EndOfLinereply
lemmy.world

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.

13

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

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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.

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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.

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Pennomireply
lemmy.world

Honestly the US government needs to step in and break them up, and nationalize the space launch business for national security reasons. They won’t, but they should if they want to be smart about it.

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lemmy.world

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.

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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.

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abbadon420reply
sh.itjust.works

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

5

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.

1
cmbabulreply
slrpnk.net

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

1

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.

1
sh.itjust.works

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.

1

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.

1

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.

1

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.

3

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

3