SpaceX IPO Draws Strong Market Response Amid Questions Over Risks
SpaceX made its public market debut at NASDAQ in New York, drawing a large crowd and significant investor attention. The company priced its initial public offering at $135 per share, with plans to sell more than 555 million shares and raise about $75 billion. By early afternoon, shares were trading near $170, lifting SpaceX’s valuation close to $2.2 trillion. The rise also pushed Elon Musk’s estimated net worth to about $1.1 trillion, according to reports citing Forbes.
The offering marks a major milestone for SpaceX, which has become a central player in commercial spaceflight. Its Falcon 9 rocket has flown hundreds of missions and accounted for a major share of global orbital launches last year. The company’s Starlink satellite network has also expanded to more than 10,000 satellites, with further growth expected if its larger Starship rocket becomes operational at scale.
However, SpaceX enters public markets with significant financial and technical challenges. The company reportedly lost $4.9 billion last year and has accumulated large losses since its founding. Its Starship rocket, central to both SpaceX’s Mars ambitions and NASA’s Artemis lunar program, has had mixed test results. NASA is relying on a modified Starship as part of its plan to return astronauts to the moon, though questions remain about whether the vehicle will be ready on schedule.
SpaceX may face increased pressure after rival Blue Origin suffered a major rocket test accident, potentially affecting NASA’s backup lunar lander plans. Analysts have also raised concerns about Starship’s height and landing stability compared with earlier lunar lander designs.
The IPO also brings renewed scrutiny of Musk’s public role. His political activity and controversies previously affected Tesla’s stock, and SpaceX will now be more exposed to similar market reactions. Supporters credit Musk’s companies with advancing key industries, while critics point to wealth inequality and governance concerns.