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Why has SpaceX stock continued to fall? Experts explain
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Key Points:
- SpaceX shares have declined for four consecutive trading sessions, dropping about 40% from their post-IPO peak and currently trading slightly below the IPO price of $135.
- Analysts attribute the stock decline to waning investor enthusiasm after the initial hype, concerns over profitability, and typical IPO volatility, as SpaceX has yet to turn a profit despite significant revenue growth.
- The company reported $18.7 billion in revenue for 2025, with nearly a quarter coming from its Starlink satellite internet service, but posted a $4.9 billion loss last year.
- SpaceX's stock surge post-IPO was driven by limited public shares (about 5%) and high demand, pushing its market value above major firms like Amazon and Meta, but enthusiasm has since cooled.
- Analysts remain divided on SpaceX's future, with some optimistic about its potential in aerospace and AI, while others remain skeptical of ambitious projects like space-based data centers; comparisons are drawn to Tesla's volatile but ultimately successful growth.
