- SpaceX shares fell below $135, down over 40% from its all-time high of $225.64
- Stock dropped 30.47% in the past month and 10.06% in the last five days
- Morningstar predicted a 53% crash from IPO price, citing valuation concerns
In a major blow to Elon Musk's rocket company Space Exploration Technologies Corp. (SpaceX), the share price has plunged below the psychologically important $135 level for the first time.
The stock have fallen over 40% since its all-time high of $225.64 after listing to $132.15 on Wednesday. The issue price for the IPO was set at $135. As of 12:21 p.m., the stock traded 2.01% lower at $133.32.
ALSO READ: 50% Crash On Cards? Why Morningstar Believes SpaceX Is Worth Only $63 Post IPO
SpaceX landed on the Nasdaq index after listing with a 11% premium at $150 to its issue price of $135 on June 12, 2026. From analysts to investors, most people are had big bets on the Elon Musk company to sustain its gains in the long run.
However, the American financial services firm Morningstar had flagged some tricky bottlenecks for the space venture ahead of listing, and estimating a 53% crash from its offering price of $135.
The bearish view was not based on doubts over SpaceX's capabilities, but on the gap between today's valuation and the uncertain future outcomes required to justify it.
The scrip has fallen 30.47% in the last month and 10.06% in the last five days. While, there is no specific cause behind the decline in shares, investors may be evaluating the valuation concerns too.
With lock-in expiry looming on the company, the stock may face further difficulties. The first of many share lockups will likely be over after SpaceX reports its first set of quarterly results withing the coming weeks. The lockup has kept early investors from selling the stock and may trigger a fresh spell of selloffs once its over.
Despite a negative turn of events, analysts tracking the stock on Bloomberg remain optimistic as most of them have a 'buy' or equivalent rating for it.
Out of the 36 analysts tracking the company, 30 suggest buying the shares, five recommend holding it and only one has a sell call. The 12 month consensus target price of $237.82 implies a potential upside of 78% from current levels.
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