{"id":558255,"date":"2026-07-20T00:59:16","date_gmt":"2026-07-20T00:59:16","guid":{"rendered":"https:\/\/www.newsbeep.com\/ie\/558255\/"},"modified":"2026-07-20T00:59:16","modified_gmt":"2026-07-20T00:59:16","slug":"spacex-falls-back-to-earth-after-ipo-frenzy-the-irish-times","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/ie\/558255\/","title":{"rendered":"SpaceX falls back to Earth after IPO frenzy \u2013 The Irish Times"},"content":{"rendered":"<p class=\"c-paragraph paywall \"><a href=\"https:\/\/www.irishtimes.com\/tags\/spacex\/\" target=\"_self\" rel=\"nofollow noopener\" title=\"https:\/\/www.irishtimes.com\/tags\/spacex\/\">SpaceX<\/a> has achieved a remarkable feat: its shares have already fallen back to Earth.<\/p>\n<p class=\"c-paragraph paywall \">Shares slipped below their $135 (\u20ac118) listing price less than a month after SpaceX\u2019s blockbuster IPO (initial public offering), wiping more than $1 trillion from their peak market value. Demand for the much-hyped stock drove shares as high as $225 within days of going public, but it\u2019s been downhill ever since.<\/p>\n<p class=\"c-paragraph paywall \">SpaceX may still, as its devotees insist, transform industries from satellite communications to space infrastructure, but there is a reason Wall Street types joke that IPO stands for It\u2019s Probably Overpriced. <\/p>\n<p class=\"c-paragraph paywall \">Data from IPO expert Jay Ritter shows that almost half of large IPOs were trading below their IPO price three years later.<\/p>\n<p class=\"c-paragraph paywall \">This should not be surprising. Even without the benefit of decades of IPO data, it seems unlikely that the moment when everyone is most excited about a stock will also be the moment when it is most attractively priced.<\/p>\n<p class=\"c-paragraph paywall \">There is also a lesson here for index providers. The S&amp;P 500 requires companies to have been publicly traded for at least a year before inclusion, allowing time for genuine price discovery. <\/p>\n<p class=\"c-paragraph paywall \">Nasdaq, however, fast-tracked SpaceX into the Nasdaq-100, forcing passive funds to buy shares shortly after launch. Many other index providers took the same approach.<\/p>\n<p class=\"c-paragraph paywall \">Index investing may remove emotional decisions from investors, but changing the rules for the hottest companies risks turning passive funds into momentum chasers. <\/p>\n<p class=\"c-paragraph paywall \">SpaceX\u2019s shareholders are learning that waiting can be valuable. Perhaps index providers should too.<\/p>\n","protected":false},"excerpt":{"rendered":"SpaceX has achieved a remarkable feat: its shares have already fallen back to Earth. Shares slipped below their&hellip;\n","protected":false},"author":2,"featured_media":558256,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[72,605,61,60,2306],"class_list":["post-558255","post","type-post","status-publish","format-standard","has-post-thumbnail","category-business","tag-business","tag-elon-musk","tag-ie","tag-ireland","tag-spacex"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/posts\/558255","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/comments?post=558255"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/posts\/558255\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/media\/558256"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/media?parent=558255"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/categories?post=558255"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/tags?post=558255"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}