SpaceX stock faces volatility as investors prepare for first earnings report and a major share unlock.
SpaceX stock has experienced a volatile week, closing down 3.4% on Friday to finish at $108.37. The company is preparing for its first quarterly earnings report as a public company on August 4, which has created significant market uncertainty. Investors are closely monitoring the stock as it faces a potential 15% swing following the report. Additionally, a lockup expiration on August 6 will free up to 20% of eligible shares for sale, potentially increasing supply and putting further pressure on the stock. While the stock has shed approximately 30% from its market debut, many traders remain optimistic, with more calls than puts being traded. Meanwhile, CEO Elon Musk continues to push for a potential merger between SpaceX and Tesla, though the merger faces scrutiny from China due to SpaceX's defense contracts and Tesla's manufacturing presence in the country.
Sources
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SpaceX stock hits new closing low in rocky week ahead of earnings
Yahoo Finance
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Elon Musk stocks take $1.5 trillion hit with fresh test in SpaceX lockup ahead
cnbc.com
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SpaceX stock loses $1.2 trillion in market cap before Q2 earnings
qz.com
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SpaceX Q2: The Biggest Selloff Is Coming (NASDAQ:SPCX)
Seeking Alpha