SpaceX IPO: Live Updates

SpaceX’s initial public offering (IPO) witnessed a remarkably swift and efficient market debut, with Nasdaq President Nelson Griggs noting that the process was faster than anticipated. The stock opened at $150 per share, trading 58 million shares, a testament to the robust demand and efficient execution by the entire market ecosystem, spearheaded by Morgan Stanley’s stabilization efforts.

“It wasn’t just Nasdaq; it was the entire community, led by Morgan Stanley in stabilizing the offering. We achieved the desired order size in a highly efficient manner,” Griggs commented. “The order book showed substantial support.”

Griggs attributed the IPO’s success to a well-diversified order book, which included not only traditional long-only institutional investors and active traders but also a significant and unusual level of retail participation. He estimated that approximately $15 billion of the total raise originated from retail investors, a figure he described as “larger than most IPOs.” Griggs further suggested that Tesla’s substantial retail shareholder base likely contributed to the heightened enthusiasm surrounding SpaceX’s public market debut.

With SpaceX shares trading approximately 20% above their opening price shortly after the market open, Griggs indicated that Nasdaq was closely monitoring volatility. However, he noted no immediate signs that trading would need to be halted under regulatory circuit breaker rules.

He characterized the demand for the offering as “incredible,” predicting that other companies preparing for their own public listings would likely study the SpaceX debut as a potential blueprint for how the market can successfully absorb mega-cap IPOs.

Alphabet stands to be a significant beneficiary of SpaceX’s successful IPO, with its roughly 4.9% stake now valued at approximately $105 billion. This makes it one of Google’s most lucrative private market investments to date. However, realizing the full value of this stake presents challenges, as Alphabet must navigate post-IPO lock-up periods, liquidity constraints, and potential tax implications associated with any outright sale.

SpaceX officially began trading on Friday at $150 per share, representing an approximate 11% gain over its IPO price of $135. This opening price, while robust, was slightly lower than earlier indications of interest, which had suggested a potential trading range closer to $175, a figure more than 16% higher than the actual opening.

Indications of interest to trading desks for SpaceX suggested an opening trade around $150 per share. This level marked a significant adjustment from earlier in the day and the initial $175 price indication. The latest figures indicated that SpaceX would likely open with an approximately 11% increase from its IPO price of $135.

Nelson Griggs, President of Nasdaq, emphasized that for a record-breaking IPO like SpaceX, the critical element is not just the ceremonial bell-ringing but the establishment of the correct first trade, especially for a company of SpaceX’s immense scale. Speaking from the Nasdaq trading floor on listing day, Griggs explained that for such a substantial deal, the stabilization agent typically aims to secure orders for about 10% of the shares offered before setting the opening price. For SpaceX, this equated to roughly 55 million shares.

Following earlier indications around the $175 mark, the expected opening trade for SpaceX adjusted closer to $160, illustrating the dynamic price discovery process Griggs described. The listing also carries significant near-term index implications, with Griggs noting that SpaceX would be eligible to join the Nasdaq 100 index within approximately 15 days, reflecting its anticipated standing among the world’s largest non-financial companies by market capitalization.

Antonio Gracias, a SpaceX board member and founder and managing partner of Valor Equity Partners, expressed his belief that SpaceX is “one of the most consequential companies in human history.” He further stated his intention to hold his SpaceX stake “as long as I possibly can,” noting that the majority of his firm’s 7% ownership is held on behalf of its clients. Regarding potential mergers with Elon Musk’s automotive venture, Gracias deferred, stating such decisions were “way above my pay grade.”

Aswath Damodaran, a finance professor at New York University widely known as the “Dean of Valuation,” voiced skepticism regarding SpaceX’s reported market valuation of approximately $1.8 trillion. While acknowledging SpaceX as an “amazing company” and an “engineering marvel,” Damodaran suggested that reaching such a valuation requires substantial justification. He posited that a valuation of $1.3 trillion already pushes the optimistic scenario to its limits, expressing doubt about the potential for further upside beyond that figure. Damodaran specifically criticized the company’s stated addressable market of $28.5 trillion, humorously suggesting it sounded more like the output of an AI assistant like Grok than a financial prospectus, labeling it a “hallucination” that he would be “embarrassed to even put out.”

Indications of interest for SpaceX shares on trading desks shifted to approximately $162 per share, a decrease from the initial $175 level. This adjustment signaled that SpaceX was still poised for a significant opening, estimated at a 20% gain from its IPO price of $135.

Shaun Maguire, a partner at Sequoia Capital, drew a parallel between SpaceX’s current position and that of Nvidia approximately three years prior, distinguishing it from comparisons to Tesla. Maguire expressed strong confidence in SpaceX’s potential for “explosive revenue growth” and stated his personal intention to hold his shares “forever.”

Gwynne Shotwell, President and COO of SpaceX, affirmed the company’s commitment to serving government contracts alongside its commercial endeavors. “We’re a company of patriots, and we want to make sure that our government has access to the leading technology and the best stuff, and I think we provide the best stuff,” Shotwell stated, emphasizing SpaceX’s ongoing support for government initiatives.

SpaceX’s initial trading price was indicated to be around $165 per share, a figure slightly lower than initially forecast but still anticipating a substantial double-digit gain from its IPO price of $135. This level suggests an opening pop of approximately 22%. The indications of interest, provided by trading desks before the market opens, are crucial for setting the initial trade price. The process for such a large IPO, involving significant retail participation, is expected to be lengthy.

Gwynne Shotwell commented on the significant enthusiasm from retail investors for SpaceX’s IPO, linking it directly to Elon Musk’s vision for democratizing space access. “He’s trying to make space open for everybody,” Shotwell said, emphasizing Musk’s desire for “regular people” to participate in the IPO. She expressed hope that SpaceX’s approach would set a precedent for other companies to offer greater public access to their stock. While acknowledging the crucial support from institutional investors, Shotwell highlighted the long-standing demand from individual investors, including Tesla shareholders.

Gwynne Shotwell addressed Iran’s threats to target Elon Musk’s companies in the Middle East, stating that SpaceX has encountered threats “at all levels” but remains resolute. “When you’re doing things that are really different and you’re trying to change the world, I think some people and some countries get mad, you know, but we always try to do the right thing,” Shotwell asserted. “We’ll keep forging ahead.” The remarks followed reports of Iran targeting regional Starlink ground stations and other interests connected to Musk’s ventures.

Hours before its highly anticipated debut on the Nasdaq, SpaceX successfully launched its Falcon 9 rocket from Cape Canaveral Space Force Station in Florida. The mission carried 29 Starlink satellites into low-Earth orbit, demonstrating operational prowess even amidst the corporate milestone.

In an address to SpaceX employees prior to the company’s public market debut, Elon Musk outlined the company’s ambitious long-term vision: “Whoever you are watching this, SpaceX wants to be able to take you to the Moon, take you to Mars and ultimately beyond.” This statement underscores the company’s commitment to pushing the boundaries of human space exploration.

A coalition of technology accountability groups has urged investors to consider the broader implications of SpaceX’s business, particularly its integration with xAI and the associated legal challenges surrounding its Grok AI chatbot. These groups highlight ongoing lawsuits and regulatory probes related to the creation of non-consensual, sexualized imagery, often referred to as deepfake pornography. Representatives from organizations such as the Heat Initiative and the Consumer Federation of America argue that these legal and regulatory issues are not diminishing but are likely to escalate post-IPO, posing significant risks to investors and stakeholders.

Tyler Whitmer, CEO of Executives at Legal Advocates for Safe Science and Technology (LASST), pointed out that recent high-profile departures at xAI could impact the company’s ability to address these safety concerns, raising questions about its capacity to manage these issues effectively. Whitmer emphasized that problems related to safety are intrinsically linked to shareholder value, indicating that the legal entanglements could directly affect SpaceX’s financial standing.

In a candid address to employees at SpaceX’s Starbase headquarters, Elon Musk revealed his initial assessment of the company’s prospects. “I gave SpaceX less than a 10% chance of succeeding at all,” Musk confessed, underscoring the immense challenges and risks the company has overcome to reach its current pivotal moment.

The consortium of banks underwriting SpaceX’s monumental IPO is set to receive approximately $500 million in fees. Goldman Sachs and Morgan Stanley are expected to lead the pack, each earning around $100 million. Other major underwriters, including Bank of America, Citigroup, and JPMorgan Chase, are each slated to receive approximately $75 million. These five institutions will collectively account for roughly 85% of the total fee pool.

Amidst ongoing speculation regarding a potential merger between SpaceX and Tesla, Gwynne Shotwell, President and COO of SpaceX, told CNBC’s Morgan Brennan that such a combination “might make Elon’s life a little easier.” Shotwell acknowledged the existing synergies between the two companies, including shared resources like engineers, but stated her current focus remains on SpaceX’s core operations. She noted that while there are “no question” about future convergence, her immediate priority is “keeping the lights on here.” CNBC has previously reported on Musk’s discussions about merging the companies, highlighting his significant voting control at SpaceX.

Ben Narasin, founder of Tenacity Venture Capital, cautioned that a poorly performing SpaceX IPO could have a detrimental ripple effect across the market, potentially creating a “true chill” and significantly stalling future public offerings. Conversely, Narasin suggested that a successful IPO would likely “pop” and inspire a wave of further IPOs, including those from prominent AI companies like OpenAI and Anthropic.

Alphabet’s strategic investment of $900 million in SpaceX over a decade ago, coupled with subsequent additions to its position, has resulted in an approximately 4.9% stake now valued at $105 billion. This holding positions SpaceX as Alphabet’s most successful private market bet. Furthermore, Alphabet’s potential acquisition of AI coding startup Cursor, which SpaceX has agreed to acquire, could lead to further upside. However, monetizing this stake involves navigating lock-up periods, liquidity constraints, and tax implications. Experts suggest tax-efficient strategies may be explored, but direct share sales remain the clearest path. The substantial SpaceX stake also offers Alphabet a valuable balance sheet asset amidst its significant investments in AI infrastructure, which Melius Research projects could lead to negative free cash flow next year.

Renowned journalist and Elon Musk biographer Walter Isaacson believes that SpaceX’s public debut signifies the beginning of a transformative era for the space industry. Speaking on CNBC’s “Squawk Box,” Isaacson stated, “It’s not just that you’re getting a new trillionaire, but you’re getting a whole new economy here, which is a space economy.” He envisions this evolving economy encompassing Starlink satellites, future orbital data centers, and potentially even space-based mining operations.

David George of Andreessen Horowitz highlighted SpaceX’s unique capabilities, stating that the company has “demonstrated things that no one else can do.” He characterized Elon Musk as “the best entrepreneur of our generation” who is targeting two of the most critical markets: space and artificial intelligence. George specifically cited SpaceX’s Starship, a rocket the size of a football field capable of vertical landing, as an example of its unparalleled technological prowess.

The Nasdaq has scheduled the opening window for SpaceX’s stock to commence at 9:50 AM ET. This timeframe is when initial indications regarding the company’s opening price are expected to become available, signaling the start of its public trading journey.

In parallel with SpaceX’s public debut, two of its key competitors in the artificial intelligence sector, OpenAI and Anthropic, are also preparing for their own IPOs. OpenAI, currently valued at $852 billion by private investors, has confidentially filed its prospectus with the SEC, though the exact timing remains undetermined due to market conditions and internal considerations. Anthropic also recently filed its prospectus confidentially, with its IPO timing contingent on market factors and other considerations. Anthropic concluded a funding round in May at a valuation of $965 billion.

Maye Musk, mother of Elon Musk, was among the first family members to arrive at the Nasdaq MarketSite to witness SpaceX’s historic IPO. The Musk family maintains close ties to Elon’s ventures, with his brother Kimbal serving on the Tesla board.

Ahead of SpaceX’s significant IPO, stocks with ties to the company have experienced a notable surge, particularly in options trading. EchoStar, which holds an estimated 3% stake in SpaceX, saw its shares jump 11% on Thursday, with options volume exceeding its 30-day average by more than elevenfold. AST Spacemobile also climbed 12% on Thursday, with nearly $140 million in options trading. Both EchoStar and AST Spacemobile continued to trade higher in early Friday trading, reflecting strong investor interest in leveraging exposure to the space sector leading up to the SpaceX debut.

Speculative trading in SpaceX-linked perpetual futures on the Hyperliquid platform indicates a strong expectation for a significant public market debut. The SPCX-USDC contract was trading around $176, approximately 30% above the IPO price of $135 per share, although this reflects a notable pullback from peak levels exceeding $220 in May. The substantial trading volume and open interest in these perpetual contracts underscore sustained speculative demand and serve as an active proxy for pre-IPO sentiment toward SpaceX.

Traders on the prediction market platform Polymarket are expressing strong confidence in SpaceX’s market performance, with a 70% probability assigned to the stock closing above a $2 trillion market cap on its IPO day. Further projections indicate a near 50-50 chance of closing above $2.2 trillion, and an 84% likelihood of exceeding an $1.8 trillion valuation. This sentiment aligns with SpaceX’s IPO valuation of approximately $1.77 trillion, positioning it alongside tech giants like Nvidia, Apple, Alphabet, Microsoft, and Amazon in achieving this significant market milestone.

In Times Square, a day before SpaceX’s highly anticipated public debut, protesters voiced concerns regarding Elon Musk’s approach to AI safety. The demonstrations specifically targeted Musk’s Grok AI tools and the social network X for their alleged role in facilitating the creation and distribution of non-consensual sexualized and violent imagery. The coalition behind the protest, “Safe AI Now,” erected a large inflatable effigy of Musk with a message highlighting the alleged dangers of Grok AI. They issued a statement warning investors that SpaceX is “selling the liability” associated with a “dangerous and exploitative AI” to the public, potentially putting investors and retirement funds at risk.

VandaTrack reports that retail investors have been divesting from artificial intelligence-related stocks, such as Micron, Advanced Micro Devices, and Marvell Technology, in preparation for the SpaceX IPO. This strategic shift suggests that individual traders are likely consolidating capital to participate in SpaceX’s market debut, as well as future anticipated IPOs from OpenAI and Anthropic. The rotation indicates a potential rebalancing of portfolios rather than the deployment of fresh capital into the market.

Following its market debut, Elon Musk is set to retain substantial voting control over SpaceX, holding 82.4% of the company’s voting power. However, Musk is subject to a one-year lock-up period for his SpaceX shares. The IPO filings highlight Musk’s significant ownership as a key incentive for his continued involvement in ensuring the company’s success. Post the lock-up period, Musk is not obligated to maintain his ownership stake and may elect to reduce or sell his interest. SpaceX is structured as a “controlled company,” with no independent majority on its board. Approximately 911 million insider shares, doubling the public float, are slated to unlock two days after the company’s first earnings report.

SpaceX has accumulated a deficit of approximately $41.3 billion since its inception in 2002, according to its IPO filings. The company has invested over $15 billion in the development of its reusable Starship rocket, intended for lunar and Martian missions. While its connectivity division, primarily Starlink, generated $11.39 billion in revenue in 2025 (accounting for 61% of total sales, rising to 69% in Q1 2026), SpaceX cautioned investors about its history of net losses. The company reported a loss of $4.9 billion in 2025 and $4.28 billion in the first quarter of 2026, with further increases in capital and operating expenses anticipated due to significant investments in Starship and AI initiatives.

Elon Musk articulated a vision for SpaceX to raise capital for “massive capital endeavor[s]” including the development and operation of artificial intelligence data centers in orbit. These orbital facilities, Musk suggested, could offer a solution to the environmental and community opposition often faced by terrestrial data centers and their power infrastructure. He posited that solar power in space could enable unprecedented electricity generation, far exceeding Earth’s capacity. However, the practicality of such ventures is debated. AI hardware requires significant power and thermal management, challenges amplified in the vacuum of space. While advancements in superconducting logic chips could mitigate some issues, the feasibility of current plans is questioned by industry experts. SpaceX aims to deploy its first AI-capable satellites by 2028, a timeline considered aggressive by some, especially given Alphabet’s comparable ambitions with Project Suncatcher.

Gwynne Shotwell indicated that the realization of Starship’s orbital flights is “largely dependent” on the Federal Aviation Administration’s approval. She expressed confidence in the company’s ability to conduct monthly flights, with potential orbital missions by the end of the year. Shotwell noted that SpaceX has successfully conducted in-space Raptor engine tests, building confidence for future suborbital and orbital endeavors.

Jennifer Nason, former global chair of investment banking at JPMorgan, described SpaceX’s IPO as a notable “unveiling” for Gwynne Shotwell. Nason highlighted Shotwell’s integral role in the company’s journey since its inception, suggesting that her leadership and contributions are being brought into sharper focus as SpaceX enters the public markets.

SpaceX President and COO Gwynne Shotwell revealed to CNBC’s Morgan Brennan that she initially harbored doubts about the company pursuing an IPO. However, she acknowledged that the “building blocks of a publicly traded company are now in place” across SpaceX’s various business units. Shotwell expressed a preference for focusing on long-term innovation rather than short-term quarterly earnings, emphasizing the futuristic nature of SpaceX’s endeavors and its commitment to its investors.

SpaceX is offering 555,555,555 shares of Class A common stock in its IPO, which, at the $135 per share price, is expected to raise $75 billion. An overallotment option for an additional 83,333,333 shares is available to underwriters for 30 days post-IPO. Based on the initial offering, without considering the overallotment, SpaceX’s market capitalization stands at an impressive $1.77 trillion, reflecting the substantial number of Class A and B shares available.

SpaceX has become a dominant topic of conversation on Reddit’s WallStreetBets forum in the days leading up to its IPO. According to data from meme stock tracker Breakout Point, the rocket startup has been mentioned over 1,600 times since Monday, positioning it as one of the most actively discussed companies on the platform.

The capital raised through SpaceX’s IPO is earmarked for the continued advancement of its Starship program, currently in its testing phase. Funds will also be allocated to future artificial intelligence products and infrastructure, including the proposed Terafab chip factory, a joint venture with Tesla and Intel in Texas.