SpaceX stock falls below its own IPO price, just one month after making Elon Musk a trillionaire

SpaceX share price has dropped below its IPO price for the first time on Wednesday since its public listing in June 2026, just over a month after making Elon Musk the world's first trillionaire.

The price dropped by 1.5 percent to $135, less than the IPO price of $135 per share which investors paid when the space technology giant went public with the biggest IPO in corporate history.

SpaceX's valuation peaked up to $2.6 trillion valuation after initial listing; however, its market value has now fallen to roughly $1.75 trillion.

Elon Musk-owned company borrowed $25 billion in the bond market last month to help fund its buildout of AI infrastructure, joining a growing list of tech giants leaning on debt to chase the AI boom.

Investors are also watching the Federal Reserve closely, worried that a rate hike could hit richly valued tech stocks hard, and SpaceX is about as richly valued as they come.

Daniela Hathorn, a senior market analyst at Capital.com, said the pullback looks like a mix of investors cashing in gains, reassessing whether the valuation ever made sense, and unwinding wildly bullish bets that piled up ahead of one of the most hyped listings in years.

It's not unusual for a stock to dip below its IPO price during a rocky market stretch.