SpaceX Shares Plunge 50% Ahead of First Earnings Report

Shares of Space Exploration Technologies Corp. have plummeted nearly 50% from their June peak, reaching a record low of $108.66 on July 27 and closing at $113.50 on July 28. The decline follows a June 12 initial public offering that briefly made CEO Elon Musk the first trillionaire before valuation concerns took hold. Investors are citing high capital expenditures, including $7.72 billion spent on artificial intelligence infrastructure in the first quarter, and a high market capitalization relative to 2025 revenues of less than $19 billion.

Market pressure is intensifying ahead of the company's first public earnings report on August 4 and the expiration of an insider lockup period on August 6, which could release up to 911.5 million shares. To manage these headwinds, the company is reportedly seeking to raise at least $20 billion through its first investment-grade bond offering. Musk jokingly referred to himself as a "(Former) Trillionaire" on X as his paper wealth dropped due to the SpaceX slide.

Despite the financial volatility, the company achieved a technical milestone on Friday with the 13th test flight of its Starship rocket. The mission successfully deployed 20 Starlink V3 satellites and completed a soft ocean splashdown, although the Super Heavy booster hit the Gulf of Mexico harder than planned due to a partial engine failure during its landing burn.