SpaceX is set to begin trading on the Nasdaq this Friday, marking the culmination of the largest initial public offering in history. Investors poured $75 billion into the deal, betting that Elon Musk’s ambitions in space, communications, and artificial intelligence justify a staggering $1.77 trillion valuation.
This landmark listing cements Musk’s status as the first trillionaire and propels SpaceX into the ranks of the world’s most valuable companies. The move comes despite the firm posting a nearly $5 billion loss last year, with revenue generating only a fraction of similarly valued tech giants.
The stock’s performance serves as a critical test for the "Musk premium," a phenomenon previously seen in Tesla’s valuation. Market participants are closely watching the debut for signals on investor appetite ahead of forthcoming IPOs for AI heavyweights Anthropic and OpenAI. Exchanges and underwriters face pressure to manage extraordinary order volumes smoothly, avoiding the technical failures that plagued Meta’s 2012 debut.
Shares will likely not trade until midday as underwriters balance supply and demand. SpaceX priced the IPO at $135 per share, selling 555.56 million shares. The deal’s proceeds more than doubled those of Saudi Aramco, the previous record-holder. While inclusion in the S&P 500 may take time, fast-track rules will add SpaceX to the Nasdaq 100 within a month, creating immediate demand from passive funds and ETFs.
Analysts warn that the frenzied interest presents both opportunity and peril. With 30 percent of the offering reserved for retail investors, there is concern that momentum could reverse, leaving individual investors vulnerable. Meanwhile, valuation debates persist. Morningstar analysts suggest a fair value closer to $780 billion, less than half the opening market cap. However, supporters compare the long-term potential to Amazon, viewing SpaceX as a foundational shift in global infrastructure rather than a play on current fundamentals.