SpaceX shares fall as post-IPO frenzy loses steam

The company still trades more than 30 percent above its IPO price

FILE PHOTO: The SpaceX logo and a rising stock graph are seen in this illustration created on Jun 5, 2026. REUTERS/Dado Ruvic/Illustration/File Photo

Shares of SpaceX dropped more than 6 percent on Thursday, as the post-IPO frenzy that briefly placed Elon Musk's rockets-to-AI firm among the world's top five most valuable companies appeared to fizzle out.

The stock was last down 6.5 percent at $178.50, after falling nearly 5 percent in the last session. It was still more than 30 percent above its $135 offering price.

If the losses persist, SpaceX's market value of $2.52 trillion would shrink by more than $150 billion on Thursday.

"Given the magnitude of the IPO and the strong initial performance, some degree of profit-taking is ⁠not surprising," IPOX Schuster analyst Kat Liu said.

"This has been a particularly eventful and shortened trading week for the largest IPO in history," she added.

Shares of other US space companies were also down. Rocket Lab and Planet Labs dropped around 3 percent, while AST SpaceMobile and Intuitive Machines declined around 7 percent and 3 percent, respectively.

Retail investors bought up SpaceX shares aggressively for the last three sessions, with a total net purchase of over $300 million. Activity, however, was muted on Thursday, with only $9.1 million worth of net purchases noted as of 2pm ET, ⁠according to Vanda Research.

Due to its relatively small public float and high valuation, analysts and portfolio managers have cautioned investors to anticipate volatility early in SpaceX's life as a public company.

SpaceX's valuation surged past $2 trillion following its blockbuster Nasdaq debut last week. Its shares soared in their first two ⁠days of trading before giving up some gains as investors assessed whether the company's rich valuation can be justified by its costly AI push.

SpaceX said on Tuesday it would buy Anysphere, the startup ⁠behind the popular AI coding agent Cursor, for $60 billion in stocks to boost its presence in the lucrative enterprise AI tools market.

The company's bankers are preparing to meet investors as ⁠early as next week to discuss a bond offering of at least $20 billion, a source said on Thursday, as the company seeks funding for its ambitious AI expansion.