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SpaceX IPO Nets $75B, Joins Nasdaq-100; Warren Calls SEC Probe

7/4/2026

Summary

Elon Musk SpaceX IPO

SpaceX's initial public offering on June 12 raised over $75 billion and closed at $161 per share.
Elon Musk holds about 42% of SpaceX shares but controls 85% of voting power.
Nasdaq added SpaceX to the Nasdaq-100 on July 7, which is expected to generate roughly $4.3 billion of passive buying.
Senator Elizabeth Warren urged the SEC to investigate SpaceX's mandatory inclusion in retirement-account index funds.

Summary

SpaceX Acquires Cursor

SpaceX exercised an option to acquire startup Cursor for $60 billion in stock shortly after its IPO.
The IPO gave Elon Musk liquid stock that funded the Cursor purchase.
Analysts say using stock for acquisitions could add value to SpaceX and encourage longer share holding.
SpaceX issued $25 billion in debt after the IPO, prompting speculation about insider share repurchases and AI firms adopting similar lock-up structures.

Summary

SpaceX Overvaluation

Analysts say SpaceX trades at 111 times its projected 2025 sales, signaling extreme overvaluation.
Starlink generates most revenue and profit, while rockets contribute 22% of revenue and 11% of profit.
The recent acquisition of xAI created an AI segment, adding a third business line for SpaceX.
Elon Musk now serves as CEO of two traded companies, a rare setup that raises governance risk as rivals close in on satellite markets.

Summary

Banks Resume Coverage

The quiet period for banks that underwrote the $86 billion IPO ends Tuesday, allowing new research reports and price targets.
Goldman Sachs, Morgan Stanley, Bank of America, Citigroup and JPMorgan Chase led the offering with 18 banks.
Bloomberg Intelligence projects SpaceX’s Nasdaq-100 addition will generate about $4.9 billion in passive fund purchases.
Eight of Bloomberg’s 12 analysts rate the stock a buy, with 12-month targets from $165 to $401 and $223.

History

Historical Context

Google’s IPO on August 19 2004 offered 19.6 million shares at $85, raising $1.67 billion and giving the company a market value above $23 billion, which secured its place in the Nasdaq-100. The offering, led by Morgan Stanley, set a benchmark that made Groupon’s 2011 IPO the largest internet float since Google, underscoring the growing scale of tech listings.

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Elon Musk SpaceX IPO

SpaceX's initial public offering on June 12 raised over $75 billion and closed at $161 per share.
Elon Musk holds about 42% of SpaceX shares but controls 85% of voting power.
Nasdaq added SpaceX to the Nasdaq-100 on July 7, which is expected to generate roughly $4.3 billion of passive buying.
Senator Elizabeth Warren urged the SEC to investigate SpaceX's mandatory inclusion in retirement-account index funds.

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