SpaceX stock jumps 8%, up more than 25% since debut
SpaceX shares surged amid heavy retail and institutional buying, up over 25% since its market debut.
SpaceX shares climbed nearly 8% in early trading, extending a sharp rally that has lifted the stock more than 25% in the two days since the company’s market debut on Friday.
The rocket company offered 555.6 million shares to investors and raised a record $75 billion. As of 10:57:34 AM EDT, the stock was at 173.70, up 12.75, or 7.92%.
Commentators have begun comparing SpaceX to a momentum stock, while also warning it could be volatile. Wedbush analyst Dan Ives said the public listing could have broader significance for the tech sector.
"SpaceX going public is an important watershed moment for the broader tech sector in our view as this AI Revolution and data takes this next step forward", Wedbush analyst Dan Ives wrote on Monday, predicting it will lead to more capital deployed at the companies and boost upcoming IPOs for Anthropic and OpenAI.
The size of the company’s early market gains also drew attention on Wall Street.
"Elon Musk's SPCX is already $700 billion larger than Tesla (TSLA), and it's more than twice the size of Berkshire Hathaway (BRK-B)", Bespoke Investment said in a note.
Retail investors have been a major source of enthusiasm for the stock, and the source article said they may have been selling other holdings to fund SpaceX purchases. Research from Vanda Research showed retail selling across single stocks had reached its heaviest level since November 2023, with pressure centered on semiconductor names including Micron and Sandisk. At the same time, according to Vanda, retail buying of space stocks rose to its highest level since December 2024.
Institutional buying also contributed to the move at the company’s market debut, along with purchases by large investors and family offices.
Among those buyers, Ron Baron said he purchased an additional $1 billion in SpaceX stock during the IPO process, lifting his firm’s position to $25 billion. The Wall Street Journal also reported that mining tycoon Gina Rinehart, Australia’s richest person, bought a more-than $1 billion stake in SpaceX through Hancock Prospecting, which the Journal said was the single largest outside investment by her closely held company.
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