SpaceX Shares Drop Below $150 Following Nasdaq 100 Entry

Space Exploration Technologies Corp. saw its shares close at $148 on Wednesday, marking the second single-day decline below its June 12 opening price of $150. This downturn occurred immediately after the company entered the Nasdaq 100 index on Tuesday, an inclusion accelerated by revised exchange eligibility rules. While the move forced passive index funds to purchase shares for rebalancing, the buying pressure did not offset broader market selling.

The company previously established a record for the largest U.S. initial public offering, raising $85.7 billion with an initial share price of $135. Although the stock peaked at $201.80 on June 16, it has since retreated.

Market reaction remains divided. Several investment banks issued bullish ratings with price targets between $210 and $300, pointing to the company's leadership in Starlink and reusable launch technology. Conversely, MoffettNathanson maintained a neutral rating, and CFRA recommended selling the stock, arguing that current valuations are overly optimistic.