SpaceX shares have surged 48% since their August 5 low, trading above $160. This recovery has added over $750 billion to the company's market capitalization, which currently stands at $2.13 trillion.
The company's stock previously peaked at over $200 following its June IPO, reaching a valuation of $2.44 trillion, before dropping to $108 in late July. The float increased from 7.5% at IPO to 33% in August as lock-up periods expired.
Market support was bolstered by SpaceX's inclusion in the September Nasdaq 100 rebalancing, forcing index-tracking funds to increase their holdings. The stock's P/E ratio has adjusted to 111, down from over 540 in July.
SpaceX plans to borrow $40 billion to purchase Nvidia chips for AI infrastructure. This announcement led to a 6.6% decline in share price, reflecting investor caution amid high U.S. Treasury yields.
Further volatility is expected as an additional 7% of shares become available for trading this week due to expiring lock-ups. The company is also scheduled to release its second quarterly financial report in November.
