After plunging to its lowest level since its debut, SpaceX (SPCX) rebounded sharply on Tuesday — snapping a three-day losing streak as investors looked past the broader tech sell-off and reasserted conviction in the stock's long-term thesis.
The Correction After the Surge
After plunging 5% to $147 — the stock's lowest level since it opened trading at $150 earlier this month — shares of SpaceX (SPCX) rebounded to finish the day up 1% around $156. The reversal came as a tech sell-off that started Monday extended into a second day, dragging many of the market's biggest names lower.
The prior session had seen SpaceX tumble 16% to close at $155, its lowest close since its blockbuster debut on June 12. It was the stock's third straight day of declines, after SpaceX had rallied as high as $225 in its first three days of trading. The reversal from those early highs was sharp, but not unusual for a mega-IPO finding its price discovery footing.
"SpaceX's performance could be taken as a sign of how investors are feeling about new AI-related listings, as the company's debut marked one of several major AI-centric IPOs expected this year."
— Extoro Research Analysts
The Bond Sale Factor
SpaceX announced a bond sale of an undisclosed size on Monday, stating it intends to use the proceeds to pay off some of its debts. The company said it had just over $100 billion in cash and cash equivalents on hand as of the end of last week — a substantial cash position that helped reassure investors concerned about near-term liquidity.
Why IPO Volatility Matters for Investors
The wild ride reflects a broader reality for any mega-IPO: the first weeks of trading are driven more by sentiment, positioning, and retail enthusiasm than by fundamentals. SpaceX's float — the percentage of shares actually available for trading — remains tiny relative to its market cap, meaning even modest selling can cause outsized price swings.
For long-term investors on the Extoro platform, the volatility in SPCX's first weeks may represent a buying opportunity rather than a warning sign. The company's fundamentals — Starlink's 10 million subscribers, 7 successful Starship orbital missions in 2026, and the deepening AI infrastructure business — have not changed.