SpaceX stock closed below the IPO price for the first time on Thursday.
SpaceX (NASDAQ: SPCX) had an explosive initial public offering (IPO) last month, but investors who gained direct exposure to the company at its debut have unfortunately suffered some noticeable losses.
SpaceX shares were sliding in after-hours trading, after closing below their IPO price for the first time on Thursday after the company's 13th Starship test flight was aborted less than a second before liftoff, adding to investor concerns at a time when bearish bets against the stock are mounting. The stock dropped about 4.5% in after-hours trading after the launch was scrubbed, extending losses from the regular session when it closed at $131.11, below its June IPO price of $135.
SpaceX's Starship rocket triggered a last-second abort before any liftoff for its 13th flight test from Texas on Thursday, postponing the mission by at least 24 hours with the company studying what likely caused the automated scrub.
What a short, strange trip it's been.
SpaceX (NASDAQ:SPCX | SPCX Price Prediction) trades at $135.27, and the setup ahead of Starship Flight Test 13 is worth examining closely.
Close to half of major IPOs sink below their offering price — and stay there for several years. Here's why SpaceX is no different.
Sometimes, good things come to those who wait. For those who were able to hold off from buying a few shares of Space Exploration Technologies (NASDAQ:SPCX | SPCX Price Prediction) on day one, there's now a chance to buy at around the $135 per-share IPO price.
About 185 million SpaceX shares are now sold short, representing roughly 29% of the company's publicly tradable float, according to S3.
Short sellers targeting SpaceX shares are sitting on an estimated $8.7 billion in paper profit since the rockets-to-AI firm's initial public offering, as its stock slipped below the IPO price, according to data and analytics firm Ortex Technologies.
SpaceX (NASDAQ:SPCX | SPCX Price Prediction) trades at $135.27, sitting right on its $135 IPO price from June.
SpaceX has become one of Wall Street's biggest targets for short sellers just weeks after completing the largest initial public offering in history, as investors increasingly bet that the Elon Musk-led company's blockbuster valuation could come under pressure. The stock briefly slipped below its $135 IPO price on Wednesday before recovering to close at $135.27, marking the first time it has traded below its debut price since listing on the Nasdaq last month.