SpaceX shares sink below $135 IPO price for the first time
A four-day selloff erases early gains as insider lockup expiry approaches
SpaceX shares have surrendered their IPO premium entirely, sliding below the $135 offering price for the first time since going public. The decline marks a sharp reversal from the typical post-IPO pop that rewards early investors and signals confidence in a newly public company.
The selloff accelerated over four straight trading sessions, culminating in an all-time low reached just days after SpaceX entered the Nasdaq-100 index. That timing raises a structural concern: index inclusion typically draws passive inflows and retail attention, yet SpaceX bucked that pattern by falling into negative territory instead.
According to Reuters reports, the timing of a looming share lockup expiry hangs over the stock. When lockup periods expire, company insiders and early investors gain the right to sell their holdings, often unleashing supply that presses share prices lower as shareholders rush to lock in gains or cut losses. The prospect of that flood stands out as the primary pressure point for the stock, beyond any fundamental shift in SpaceX's operations or prospects.
