SpaceX Shares Surge in Debut Trading
Shares of SpaceX jumped nearly 20% on Monday, marking the first full day of trading for Elon Musk’s rocket company, which had a record-setting debut on the Nasdaq last week.
Following over 500 million shares traded on Friday, around 120 million shares changed hands by noon ET on Monday. This number is reminiscent of Facebook’s debut in 2012, which saw nearly 580 million shares traded.
SpaceX’s historic opening on Friday was set at $150 per share, establishing the largest IPO ever and valuing the company at more than $2 trillion. By the end of the day, the stock closed at $192.45, reflecting a rise of 19.6%.
On Sunday, Musk shared thoughts via his social media platform.
This trend would indicate significant growth, especially considering SpaceX had reported $18.7 billion in revenue last year.
SpaceX is perhaps best recognized for its reusable rockets and plans to establish a presence on Mars.
Moreover, the company also includes Musk’s satellite internet service, Starlink, which has become a key government contractor recently and is expected to be its primary revenue source by 2025.
In February, Musk combined SpaceX with his AI startup, xAI.
While SpaceX’s heavy investment in AI is impacting profits, Musk hasn’t indicated any intention to scale back. The company reportedly lost nearly $5 billion last year amid capital expenditures of $20.7 billion.
In the first quarter of 2026 alone, expenses reached $10.1 billion, with $7.7 billion attributed to AI—a notable increase from the $4.1 billion spent in the same quarter last year.
Despite the impressive IPO, discussions are ongoing about whether the stock, along with sectors like AI and technology, is overvalued.
CFRA issued a “sell” rating for SpaceX, projecting a price target of $115, indicating a nearly 29% drop from Friday’s closing price. This cautious outlook stems from “the company’s very ambitious growth strategy, high valuation expectations, and significant capital concentration.”
“Investors aren’t focusing on fundamentals right now. They’re investing in the idea that Elon Musk, Starlink, AI, space infrastructure, and SpaceX will eventually shape an industry that’s still in its infancy. It’s exciting, but expectations are incredibly high,” noted Scott Martin, a partner at Kingsview Wealth Management.
Considering whether the stock might keep climbing, Martin said it’s possible, but after a record-breaking IPO and substantial gains, investors should be aware that a lot of future expectations are likely already factored into the price.
Morningstar analyst Nicholas Owns indicated prior to the IPO that SpaceX’s value should be about $63 per share, labeling the stock as “overvalued.”
