SpaceX lost more than $1 trillion in market value in a month
Since its initial public offering, SpaceX's stock has already fallen 20% / Photo: X / SpaceX
SpaceX’s market capitalization has fallen by more than $1 trillion from the peak it reached just over a month ago, on June 16, MarketWatch noted. On Monday, July 20, SpaceX shares fell 3.3% to $119.9, their lowest price ever. The decline since the stock’s debut has been 20%.
At its peak in mid-June, Elon Musk’s space and AI corporation rose to fifth place on the list of the largest U.S. companies—it was valued higher than Amazon and Microsoft. At that time, SpaceX’s stock price jumped to $225.64 per share, and the company’s total market capitalization reached $2.94 trillion. But on Monday, July 20, SpaceX’s market capitalization fell to $1.579 trillion—a figure lower than Meta Platforms’ market value ($1.64 trillion). As a result, SpaceX dropped to 8th place among the largest U.S. companies. Last week, SpaceX also fell behind Broadcom in market capitalization after its stock price dropped below its IPO price.
Context
Last Thursday, SpaceX postponed another test of the Starship rocket after several of its engines failed to ignite. The company had stated that it could conduct a new test as early as Monday. However, on Sunday, SpaceX announced that it now expects to conduct the 13th Starship test no earlier than Thursday—the day after Musk holds a conference call on Tesla’s quarterly results.
The Starship rocket is essential to achieving many of SpaceX’s goals, and most analysts tracking the company’s stock warn that potential delays in this program pose risks to Musk’s ambitious projections. “Starship underpins both the communications and AI initiatives,” Clear Street analyst Greg Pendy told MarketWatch. “Any postponement or delay really sets back the [stock’s] growth story.”
SpaceX also canceled the Falcon 9 launch scheduled for Monday morning, without explaining the reason for the cancellation. A company statement said that the rocket and its payload “remain safe.”
What People Are Saying in the Market
However, despite the recent decline in the company’s stock price, Wall Street analysts view SpaceX’s outlook positively: most—28 out of 36—of those tracking the company’s stock recommend buying it, according to MarketWatch data; six recommend holding, and only two recommend selling. The analysts’ consensus price is $240.7, which is more than 100% higher than the closing price on July 20.
This article was AI-translated and verified by a human editor
