Key facts
- SpaceX's initial public offering raised $85.7 billion.
- The IPO is the largest in U.S. history.
- Elon Musk became the world's first trillionaire following the IPO.
- SpaceX shares opened on the Nasdaq at $150, an 11% increase from the IPO price.
- SpaceX shares have surged over 50% in three trading sessions post-IPO.
- SpaceX's valuation has reached nearly $2.5 trillion.
- SpaceX's market capitalization surpassed Amazon's and briefly Microsoft's.
- Trading volume for leveraged bets on SpaceX's IPO exceeded $1 billion on its first day.
- Bullish call options dominated SpaceX options trading on its debut.
- SpaceX shares gained more than 14% on Tuesday.
- SpaceX is reportedly planning to acquire Anysphere for $60 billion.
- Australian mining magnate Gina Rinehart invested over $1 billion in the SpaceX IPO.
SpaceX's initial public offering has generated a record-breaking $85.7 billion, establishing it as the largest IPO in U.S. history and making Elon Musk the world's first trillionaire. The company's shares commenced trading on the Nasdaq at $150, an 11% increase from their IPO price. In the subsequent three trading sessions, SpaceX shares have surged by over 50%, driving its market valuation to nearly $2.5 trillion. This surge has propelled SpaceX's market capitalization past Amazon's and briefly above Microsoft's.
The IPO has ignited significant activity in the options and ETF markets. Trading volume for leveraged bets on SpaceX's IPO exceeded $1 billion on its first day, with bullish call options dominating debut trading. Newly launched leveraged ETFs are experiencing substantial inflows as investors seek to capitalize on the IPO's momentum. This options trading frenzy likely contributed to the more than 14% rise in SpaceX shares on Tuesday alone.
The substantial valuation of SpaceX, now nearing $2.5 trillion, has drawn analyst scrutiny, with some questioning the figures based on long-term vision rather than current performance. The company is also reportedly planning to acquire Anysphere for $60 billion. The market debut has also sparked a debate among index providers regarding the inclusion rules for mega-cap newcomers, with Nasdaq's inclusion of SpaceX contrasting with the S&P 500's more conservative approach.
The SpaceX IPO is poised to create significant wealth for various stakeholders. An estimated 20 new billionaires may emerge from the IPOs of SpaceX, OpenAI, and Anthropic. Four principals of Cursor have already achieved billionaire status following SpaceX's public debut. Employees, executives, college endowments, and venture capital firms are all set to profit from their investments. Global investors like SoftBank and KKR have cashed out nearly Rs 18,000 crore in Indian companies post-IPO, but retain significant stakes. Australian mining magnate Gina Rinehart, through Hancock Prospecting, has invested over $1 billion in the SpaceX IPO, signaling potential future collaborations.
Retail investors also received allocations in the $86.2 billion IPO, with customers at Robinhood, Charles Schwab, Fidelity, and SoFi receiving at least one share each, indicating an effort to ensure individual investor participation. The company's stock performance has led to regret among some investors who sold their holdings prematurely.