SpaceX has set a record for the US stock market by holding the largest initial public offering in US history. Amid the company's rapid growth, the fortune of its founder Elon Musk has surpassed the USD 1 trillion mark.
This was reported by Reuters.
As of the last trading day, SpaceX shares were valued at USD 135 apiece. The company placed more than 555 million shares, raising about USD 75 billion. As a result, the space giant's market capitalization reached USD 1.77 trillion.
Thus, SpaceX surpassed the previous record set in 2019 by Saudi oil company Saudi Aramco, which raised USD 25.6 billion during its IPO.
After the start of trading on the Nasdaq, SpaceX could become one of the largest public companies in the United States. At the same time, analysts emphasize that the real test will be how the market evaluates the company in the coming weeks.
"The real test will be how the market perceives the IPO over the next few weeks, not just one day," said Adam Sarhan, CEO of 50 Park Investments.
One of the features of the placement was Elon Musk's decision to allocate about 30% of the shares to retail investors, while usually priority is given to large investment funds. After the IPO, the businessman also retained control of the company, owning 82% of the votes.
"SpaceX pricing is really in uncharted territory. I've never seen them announce a price, not through the usual process of determining prices based on orders," said Rick Meckler, a partner at Cherry Lane Investments.
Experts note that a significant part of Musk's income now comes from the Starlink satellite internet, which operates in more than 160 countries around the world. In addition, the entrepreneur is actively developing the direction of artificial intelligence through the company xAI.
At the same time, some analysts urge investors to be cautious due to the space company's dependence on government contracts.
"The financial forecasts are uncertain due to the dependence on a large number of government contracts. People who buy shares are buying the future and running away from Earth, not investing in the company," says Kim Forrest, chief investment officer at Bokeh Capital Partners.
Market participants expect the first days of trading to show the real level of investor interest in SpaceX shares. If their value increases sharply, this may indicate an unprecedented hype around Musk's company.
Recall, Starmer accused Musk of interfering in British politics.
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