{"id":732903,"date":"2026-06-12T22:32:13","date_gmt":"2026-06-12T22:32:13","guid":{"rendered":"https:\/\/www.newsbeep.com\/ca\/732903\/"},"modified":"2026-06-12T22:32:13","modified_gmt":"2026-06-12T22:32:13","slug":"spacex-stock-jumps-after-record-ipo-making-musk-the-first-trillionaire","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/ca\/732903\/","title":{"rendered":"SpaceX stock jumps after record IPO, making Musk the first trillionaire"},"content":{"rendered":"

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The audio version of this article is generated by AI-based technology. Mispronunciations can occur. We are working with our partners to continually review and improve the results.<\/p>\n

SpaceX soared in its Nasdaq\u00a0debut on Friday, sending its value past $2 trillion US, as\u00a0investors jumped at the chance to get a piece of Elon Musk’s\u00a0sprawling empire spanning rockets, internet service and AI after\u00a0a record-setting IPO.<\/p>\n

Trade kicked off late Friday morning, swinging for most of\u00a0the session between gains of 15 per cent and 30 per cent above Thursday’s\u00a0pricing with little in the way of volatility. Shares ended the\u00a0day at about $161 a share, up 19 per cent, making SpaceX the\u00a0sixth-largest U.S. company, though the final settlement price\u00a0had yet to be determined.<\/p>\n

The trading, which surpassed 500 million shares, or about\u00a0$80 billion US in volume, capped off a lead-up fraught with anxiety\u00a0over the exchange’s ability to handle the launch, particularly\u00a0after a recent swoon in technology shares that raised \u200bconcerns\u00a0about the massive gains in AI-linked names.\u00a0<\/p>\n

With mega-listings from AI heavyweights Anthropic and OpenAI\u00a0waiting in the wings, market \u200bwatchers worried that a flood of\u00a0new IPOs could hurt market performance following a long period\u00a0with a relative dearth of offerings. But investors across the\u00a0spectrum, from large institutions to retail fans of Musk, ended\u00a0the day euphoric.<\/p>\n

“SpaceX is not only a record breaker in terms of money\u00a0raised at a stock market debut, but \u200bit has also left other big\u00a0names for dust. When the starting valuation is already pushing\u00a0$2 trillion, adding that much value at the click of a \u2060finger is\u00a0impressive,” said Dan Coatsworth, head of markets \u2060at AJ Bell.<\/p>\n

WATCH | A closer look at SpaceX’s IPO:\"\"<\/p>\n

What you need to know about the SpaceX IPO<\/p>\n

CBC\u2019s Peter Armstrong breaks down what to expect with Elon Musk\u2019s SpaceX initial public offering (IPO) \u2014 valued at $1.77 trillion US \u2014 and how an insatiable investor appetite for anything AI at the moment is fuelling stock markets despite a struggling global economy.<\/p>\n

The landmark listing cemented Musk’s status as the first trillionaire ever \u2014 despite coming under pressure during Musk’s active role in U.S. President Donald Trump’s administration.<\/p>\n

SpaceX executives, including President Gwynne Shotwell and\u00a0Chief Financial Officer Bret Johnsen, celebrated at the Nasdaq\u00a0market site in New York’s Times Square after ringing the opening\u00a0bell on Friday. Musk held a separate event for employees in\u00a0Texas.<\/p>\n

World’s largest IPO<\/p>\n

The record IPO is a culmination of Musk’s long-held ambitions in space and technology, and has stood out for rewriting Wall Street’s IPO playbook and drawing legions of retail investors into the market.<\/p>\n

At $75 billion US, the deal’s proceeds were more than double those of Saudi Aramco’s record-setting 2019 IPO.<\/p>\n

The valuation could rise further should underwriters exercise their right to sell additional shares, \u2060a decision typically made within 30 days after the offering.<\/p>\n

Although SpaceX may have to wait for entry into the S&P 500, its expected fast-track inclusion in the Nasdaq 100 will soon make it a major holding for passive funds and ETFs that track the index, creating a fresh source of demand for its shares.<\/p>\n

It will take 15 trading days before it could be added to that index under Nasdaq’s new fast-entry rules, as opposed to a typical wait of as much as a year.<\/p>\n

Some analysts expect SpaceX’s debut to trigger a reshuffling of investor portfolios, creating selling pressure on other technology heavyweights as funds rotate into the stock. On\u00a0Friday, shares of \u2060other space firms and satellite companies\u00a0declined sharply, with Planet Labs down 8 per cent and EchoStar\u00a0down 14 per cent.<\/p>\n

What is SpaceX actually worth?<\/p>\n

For \u200ball the excitement surrounding the IPO, determining what SpaceX is actually worth remains a difficult valuation exercise.<\/p>\n

SpaceX said its market opportunity spans $28.5 trillion US, a figure it called the largest in human history. With its leading position in space \u2014 the firm says its \u2060operation is responsible for more than four-fifths of the mass launched into orbit over the past three years \u2014 and revenues from Starlink, some investors said it has a strong foundation \u2060upon which to build.<\/p>\n

John Belton, portfolio manager at Gabelli Funds, said the best comparable to SpaceX is Musk’s electric vehicle company Tesla, as each has an established business and “a \u2060moonshot opportunity on \u2060the other side.”<\/p>\n

“For Tesla, that’s things like humanoid robotics and other future \u200bapplications. For SpaceX, it’s the AI business,” he said.<\/p>\n

WATCH | Humanoid robots taking over at 2026 Consumer Electronics Show:\"\"<\/p>\n

Humanoid robots take centre stage at CES tech show <\/p>\n

Humanoid robots that can do household chores, such as folding laundry, were on centre stage at the Consumer Electronics Show in Las Vegas where companies preview breakthroughs in technology and artificial intelligence. <\/p>\n

The hurdles at its enormous valuation include efforts by rivals such as Jeff Bezos’s Blue Origin to accelerate the commercialization of space and \u200bpursue government contracts in a bid to unlock new \u2060markets beyond Earth.<\/p>\n

With revenue of $18.7 billion US in 2025, the company’s market cap\u00a0puts its price-to-revenue ratio at roughly 110, far above other\u00a0mega-cap stocks. Some analysts have already issued positive ratings on the company. Morningstar analysts earlier this month said it is more fairly valued at around $780 billion US.<\/p>\n

“This is not a name you’re buying based on fundamentals. For me, the analogy is Amazon. This was a company that changed the way we live,” said Nancy Tengler, CEO and CIO of Laffer Tengler Investments. “If the stock drops to $100, that’s not ideal, but it wouldn’t change our long-term view. We want to participate.”<\/p>\n","protected":false},"excerpt":{"rendered":"Listen to this article Estimated 5 minutes The audio version of this article is generated by AI-based technology.…\n","protected":false},"author":2,"featured_media":732904,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[45,49,48],"class_list":["post-732903","post","type-post","status-publish","format-standard","has-post-thumbnail","category-business","tag-business","tag-ca","tag-canada"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/posts\/732903","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/comments?post=732903"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/posts\/732903\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/media\/732904"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/media?parent=732903"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/categories?post=732903"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/tags?post=732903"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}