SpaceX shares have retreated below their initial public offering closing price, erasing approximately $400 billion from the company’s market capitalization.
The decline marks a sharp reversal for the aerospace giant shortly after its long-awaited debut on the Nasdaq.
The sell-off underscores growing skepticism among market participants regarding the sustainability of the equity rally surrounding Musk’s portfolio of companies.
Investors are increasingly scrutinizing the valuation multiples applied to SpaceX, with the recent price action serving as a stress test for confidence in the broader tech-growth narrative.
Compounding the pressure is the limited accessibility of the stock for international investors.
Foreign access remains constrained, reducing the pool of potential buyers and amplifying volatility among domestic holders.