SpaceX shares dip below IPO price amid volatile debut

SpaceX shares fell to $133.34 on Wednesday, slipping below the $135 initial public offering price set last month and marking the stock’s lowest level since its market debut.

The stock declined about 2% from the prior close after an early surge following the $86 billion IPO. SpaceX jumped nearly 50% in its first three trading days and then gave back much of that gain, losing roughly a quarter of its value over the next three sessions.

The initial share lockups that restrict early investors from selling are scheduled to lift after SpaceX reports its first quarterly earnings as a public company. If early shareholders sell when those restrictions end, additional shares could enter the market.

SpaceX was added to the Nasdaq-100 soon after listing after a rule change shortened the waiting period for newly listed large-cap companies to 15 trading days. The company also joined the Russell 1000 about two weeks after the IPO, prompting purchases by index-tracking funds.

Analyst coverage expanded after the banks’ post-IPO quiet period ended. More than 80% of analysts covering the stock have assigned buy-equivalent ratings, and the average analyst price target is about $238 per share. One firm has published a $800 target. UBS maintains a Buy rating with a $210 target, which represents roughly 54% upside from a recent close.

Analyst Gavin Parsons wrote that SpaceX has made multiple hardware and software upgrades since its last flight and that the upcoming mission would demonstrate new milestones. “This flight would demonstrate multiple new milestones and in our view be a positive for the stock,” he wrote.

A 13th rocket launch is scheduled for Thursday. UBS forecasts four commercial launches this year and projects 1,588 flights in 2031.

Market participants will monitor upcoming launches, analyst coverage and the timing of lockup expirations for signals on possible future price movement.