SpaceX opened its first day of trading at $150, up approximately 11% from its offering price of $135. The report noted that the stock faced strong demand from the outset, largely due to the limited number of shares available for public trading, with expectations of index inclusion further amplifying buying pressure.
A small float increases demand at open.
Currently, only about 4% of SpaceX’s shares are available for trading on public markets, with the remaining shares primarily held by early investors and employees. The limited float means fewer shares are available for trading, which can amplify price volatility during the initial public offering.
The report also stated that SpaceX previously advocated for changes to the inclusion rules of certain indices, resulting in faster incorporation of companies into indices such as the Nasdaq-100. This is expected to boost market demand in advance, as passive funds anticipate increased buying by major institutional investors and funds.
Reduced index inclusion time
According to reports, the time it takes for SpaceX to be included in relevant indices will be reduced from potentially months to just a few days. This means funds tracking the indices may allocate to the stock earlier, further increasing capital inflows during the initial listing phase.
From the perspective of trading structure, a small float combined with expectations of index fund inflows often leads to stronger supply-demand imbalances for new stocks during their initial trading period. For SpaceX, this is one of the key reasons its opening price on the first day was higher than its offering price.
Early shareholders' book gains have increased
This listing also triggered a significant increase in paper wealth. Bloomberg estimates that Founders Fund invested $600 million in SpaceX, holding approximately 3% of the company; at the $135 offering price, this stake is now worth over $50 billion.
The value of stakes held by other prominent investment firms also rose in tandem. The report noted that Andreessen Horowitz’s stake is worth over $10 billion, while Sequoia Capital’s stake exceeds $20 billion.
Meanwhile, Musk’s personal wealth has also been further boosted by SpaceX’s IPO. According to the report, at this opening valuation, he is likely to become the world’s first trillionaire. Additionally, as previously reported by The New York Times, approximately 4,400 current and former SpaceX employees will become millionaires, with around 400 of them reaching net worths of hundreds of millions of dollars.