Shares of SpaceX sharply reversed after a strong start on the exchange. On Monday, the stock fell another 16%, and the drop from the recent peak has already reached about 29%.
About $800 billion in market value has evaporated from the company. In just the last three trading sessions, the stock has lost about 24%.
Not long ago, everything looked very different. On June 12, SpaceX went public at $150 per share and immediately became one of the market’s top stories. Before trading began, the stock was valued at $135, but demand quickly drove up the price.
In the first two full trading days, investors bought SpaceX so actively that its market cap surpassed Amazon, and on Tuesday, for a short time, it rose above Microsoft.
Then the pullback began. On Wednesday, the stock fell about 5%, and on Thursday, it lost another 3.6%. There was no trading on Friday due to the Juneteenth holiday, and after the weekend, the sell-off accelerated.
The Hype After the IPO Begins to Fade
After the SpaceX IPO, the company almost immediately became one of the most valuable in the world. But the market quickly started to scrutinize it more closely.
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On Monday, the company disclosed new financial data. As of June 19, SpaceX had $100.8 billion in cash and equivalents. This is a huge amount, but investors noticed not only the liquidity reserve.
For the full year 2025, SpaceX posted a loss of $4.9 billion. In the first quarter of 2026, net loss was another $4.28 billion.
Because of this, the market is now divided. Some investors believe that Elon Musk will eventually turn SpaceX into a profit machine. Others look at the current losses and are not willing to pay any price for the company.
At the same time, the IPO has already brought huge paper profits to early shareholders. The listing created thousands of new millionaires, and some investor stakes rose in value above $1 billion.
Musk himself, amid the rise in SpaceX valuation, became the first person whose fortune briefly exceeded $1 trillion.
SpaceX Takes on New Debt as Insiders Await Share Unlocks
It’s not just profit-taking that’s putting pressure on the stock. On Monday, SpaceX confirmed its first bond placement. The company did not disclose the size of the issue, but Bloomberg previously reported it could be about $20 billion.
The proceeds from the placement are planned to be used to repay an interim loan. This loan was related to the February deal to acquire xAI, Elon Musk’s AI startup.
The financing was then provided by major Wall Street banks, including Bank of America, Citigroup, JPMorgan Chase, Goldman Sachs and Morgan Stanley. They are expected to participate in the bond sale as well.
For investors, the new debt raised more questions. The more the company borrows, the higher its future debt servicing costs. Moreover, the market does not understand why SpaceX is raising new funds when it already has over $100 billion in the bank.
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There is another issue: insider share unlocks are ahead. Strategist 22V Research Jeff Jacobson told Yahoo Finance that about 20% of internal holdings could become available for sale after the company’s August report.
Another 10% of shares could unlock if the price is 30% above the IPO level. Then, around August 21 and September 10, another 7% could become available for sale on each date.
According to Jacobson, by early September, insiders could be able to sell about 44% of all SpaceX shares. This will sharply increase the number of shares available for trading. Currently, about 4.2% are freely traded, so the available trading volume could increase by about 900%.
If some of these shares do hit the market, SpaceX will face new selling pressure. And this will happen at a time when investors are already looking at losses, debt, and a sharp drop in market value after the recent hype.
