SpaceX, Elon Musk’s space exploration company, had a shocking debut after its June 12 IPO. Shares soared from an opening price of $150 to a record high of over $225, giving the company a market cap of nearly $3 trillion. However, investor enthusiasm quickly turned sour, and shares plummeted by almost 17% on Monday.
By Tuesday morning, SpaceX’s shares had fallen below its opening price, reaching an all-time low of just over $147. Despite this, shares later rebounded to the mid-$150s. The company’s volatility highlights its lack of business fundamentals and lagging cash performance.
Analysts predict that some of SpaceX’s volatility may subside once more shares are unlocked in the coming months. However, investors are likely in for a wild ride as they try to gauge remaining enthusiasm for Musk’s ambitious plans. As one investment expert said, “Investors are trading the excitement, but at some point, the fundamentals need to match up.”
Source: https://futurism.com/space/spacex-stock-fallen-below-opening-price