Market Tremors: SpaceX Stock Faces Turbulence as $100B Insider Shares Go Public
SpaceX experienced a rocky end to its post-IPO honeymoon this week. The company’s first insider lockup expiration struck on August 6, 2026. This event unleashed a staggering 911.5 million shares, equivalent to approximately $100 billion, onto the open market. The unlock, which represents over 140% of SpaceX’s original public float, sent the stock plummeting to a new low of $105.11 in early trading. However, it partially recovered later, closing at $111.17.
SpaceX (Nasdaq: SPCX) made its market debut at $135 per share on June 11, 2026. The stock briefly soared above $225 before losing more than half its peak value. The newly eligible shares have increased the total tradable share count to 1.55 billion. This is a significant leap from the 639 million shares that were traded at the IPO. It’s worth noting that Elon Musk’s own 6.4 billion shares will remain locked until June 2027.
Opinions on Wall Street are split. Morgan Stanley has reiterated an Overweight rating with an ambitious $300 price target. They argue that a $100 stock price would irrationally assign no value to SpaceX’s AI and connectivity businesses. On the other hand, Morningstar has warned of a potential broader wave of selling. This is likely as additional unlock tranches, including another 319 million shares eligible on August 12, are set to roll out through the end of the year. Investors are bracing themselves for continued volatility.
Source: Quartz — SpaceX stock hits new low as insider lockup expires