Bought SpaceX At The IPO? You're Up 23%. Bought The Peak? You're 'Down Almost 25%,' Says Mohamed El-Erian

Just days after delivering the largest IPO in history, Space Exploration Technologies Corp. (NASDAQ:SPCX) has seen more than $400 billion in market value disappear, prompting economist Mohamed El-Erian to highlight the dramatic split between early winners and late buyers.

SpaceX Stock Swing Highlights IPO Volatility

Elon Musk’s company SpaceX fell 16.43% on Monday to close at $154.60, extending a sharp pullback from its recent all-time high and marking one of the largest value declines ever recorded for a U.S. company.

The latest sell-off has reduced SpaceX’s market capitalization to roughly $2.04 trillion, pushing the company to the seventh spot among the world’s most valuable publicly traded firms.

According to MarketWatch, Monday’s roughly $400.8 billion decline in market value ranks as the second-largest one-day value loss for a U.S. company.

Mohamed El-Erian: ‘Wild’ Difference Between Winners And Losers

Commenting on the stock’s rapid rise and fall, El-Erian wrote on X, “In less than ten trading sessions, SpaceX priced its IPO at $135, surged to almost $220, and has now retraced to $166.”

He added, “Investors who were lucky enough to acquire their exposure at the IPO are currently up 23%, while those who were very unlucky and bought at the high are down almost 25%. Wild!”

From Record IPO To Sharp Pullback

SpaceX priced its IPO at $135 per share on June 12, opened at $150 and ended its first trading day at $160.95, a gain of about 19%.

Investor enthusiasm intensified on June 16 after the company announced plans to acquire Anysphere, the maker of AI coding tool Cursor, in a $60 billion stock transaction.

The news helped send shares to a record high of $225.64 and briefly pushed SpaceX’s valuation above that of Amazon.com Inc. (NASDAQ:AMZN).

Since then, however, the stock has retreated sharply. In the past five days, SpaceX shares are down by 9.92%, according to Benzinga Pro.

According to Benzinga Edge Stock Rankings, SpaceX stock continues to face a bearish price trend over the short, medium and long term.

Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

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