Key facts
- SpaceX's stock has fallen 49% from its June high.
- The company's first earnings report since its IPO is due.
- Analysts predict Q2 revenue of $6.93 billion with a loss of 26 cents per share.
- A lockup expiration on August 6 will make over 912 million shares eligible for trading.
- SpaceX reported a 92% jump in revenue for the second quarter, but shares fell in after-hours trading.
SpaceX is facing a critical juncture as it prepares to release its first earnings report since its initial public offering, with its stock already experiencing a significant decline. The shares have slumped 49% from their June high, trading below the $135 per share IPO price. Analysts had predicted second-quarter revenue of $6.93 billion and a loss of 26 cents per share. However, the company reported a stronger-than-expected 92% jump in revenue for the second quarter, with CEO Bret Johnsen indicating a trajectory towards $100 billion in annualized revenue by year-end. Despite the positive revenue figures, SpaceX shares fell 7.5% in after-hours trading, a move attributed by some strategists to anticipation of the upcoming lockup expiration.
On Thursday, a significant test for investors will occur when up to 912 million shares, held by employees and pre-IPO stakeholders, become eligible for sale. These insiders stand to make substantial gains, but their potential sales could further pressure the stock. The sheer volume of shares becoming available, potentially more than tripling the public float under certain conditions, is unprecedented and is being closely watched by market participants. Some analysts suggest that while many insiders are likely to sell to diversify holdings, others remain long-term believers in the company's prospects.