SpaceX (SPCX) stock jumped over 19% on Monday in its first full trading day on Wall Street, giving the shares a two-day pop of 43% since the rocket company’s market debut.
SpaceX had offered 555.6 million shares to investors, raising a record $75 billion, but the company confirmed on Monday that it actually raised $85.7 billion after underwriters exercised their “green shoe” option to sell an additional 83,333,333 shares.
The appetite for SpaceX stocks seems unabated, with some commentators now likening it to a momentum stock, though one that could be volatile.
“SpaceX going public is an important watershed moment for the broader tech sector in our view as this AI Revolution and data takes this next step forward,” Wedbush analyst Dan Ives wrote on Monday, predicting it will lead to more capital deployed at the companies and boost upcoming IPOs for Anthropic (ANTH.PVT) and OpenAI (OPAI.PVT).
SpaceX’s growth after only two days is remarkable.
“Elon Musk’s SPCX is already $700 billion larger than Tesla (TSLA), and it’s more than twice the size of Berkshire Hathaway (BRK-B),” Bespoke Investment said in a note.
A big part of SpaceX’s return has been the enthusiasm from retail investors, and they may have been selling other stocks to raise funds for SpaceX buys.
Retail selling across single stocks just hit the heaviest level since November 2023, according to research from Vanda Research, with pressure concentrated in semiconductor names including Micron (MU) and Sandisk (SNDK), Yahoo Finance’s Jared Blikre noted. At the same time, retail buying of space stocks has climbed further, reaching its highest level since December 2024, according to Vanda.
Of course, institutional buying on SpaceX’s market debut was a big part of its move, in addition to purchases by large investors and family offices.
Ron Baron, a longtime Elon Musk supporter, said he purchased an additional $1 billion in SpaceX stock during the IPO process, increasing his firm’s position to $25 billion.
The Wall Street Journal reported on Monday that mining tycoon Gina Rinehart, Australia’s richest person, bought a $1 billion-plus stake in SpaceX, noting that it’s the single largest outside investment made by her closely-held company, Hancock Prospecting, a giant in the steel sector.
Pras Subramanian is Lead Transportation Reporter for Yahoo Finance. You can follow him on X and on Instagram.
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