But on June 17, the stock began to fall, and the decline continued the following day, according to Forbes. Over the course of two days, SpaceX’s market capitalization fell by approximately $650 billion from its highs for the week.
From its all-time high set on Tuesday, June 16, at over $225.64, the stock lost 18%, and its market capitalization shrank from $2.99 trillion to $2.44 trillion. This has pushed the company from fourth to sixth place in the ranking of the world’s largest public companies, writes Forbes.
The publication notes that the sell-off began after SpaceX announced its $60 billion acquisition of AI startup Cursor. Analysts note that the deal will reduce existing shareholders’ stakes by approximately 3.4% of the company’s IPO valuation ($1.77 trillion).
“Investors have run out of steam after a frenzied buying spree,” commented Dave Mazza, CEO of Roundhill Financial. “The key level for me is the IPO price of $135, and as long as we’re significantly above that, I view this as ‘digesting’ an important week rather than a cause for concern.”
The stock decline reduced Elon Musk’s net worth by $67.8 billion—to approximately $1.2 trillion, according to Forbes estimates. However, he remains the richest person in the world, far ahead of Google co-founder Larry Page ($300.8 billion).
