SpaceX Shares Surge Over 8% Pre-Market as Stock Rockets on Nasdaq, Cementing Musk's Trillionaire Status

SpaceX Shares Surge Over 8% Pre-Market as Stock Rockets on Nasdaq, Cementing Musk's Trillionaire Status​

SpaceX shares continued their meteoric rise in pre-market trading, jumping over 8% on Tuesday. The aerospace giant saw explosive gains, with the stock rising 19.6% on June 15 alone. This ascent has solidified Elon Musk as the world’s first trillionaire and positioned SpaceX among the most valuable companies globally.

Massive Gains Drive Valuation Amid Market Frenzy​

The performance of SpaceX stocks over their first two days on Nasdaq was staggering, recording a 43% rally. The volatility surrounding the company reached extreme levels briefly when short squeeze activity in perpetual futures sent its implied valuation to $3 trillion on specialized blockchain-based markets.

These derivatives contracts, known as perps and which do not expire, once suggested SpaceX was worth more than major Nasdaq peers such as Amazon.com Inc. and Microsoft Corp. These contracts have since retreated toward convergence with the pre-market trading price of around $212, as recorded in New York at 6 am.

IPO Greenhoe Boosts Gross Amount Raised​

The recent IPO structure for SpaceX offered significant capital augmentation opportunities. The aerospace giant announced that it exercised the IPO’s over-allotment option on Monday. This maneuver allowed underwriters to sell an additional 83.3 million shares, dramatically increasing the gross amount raised by the company to $86.2 billion.

Options Trading Commences for SpaceX Stock​

Options trading related to SpaceX stock is set to begin in earnest starting Tuesday. Several exchanges are slated to introduce these derivatives, including Cboe Global Markets Inc. and Nasdaq Inc. Other major venues like the New York Stock Exchange and Miami International Holdings Inc. are expected to list these contracts early next week.

Retail Demand Signals Strong Market Absorption​

Investor interest has been overwhelmingly strong as retail traders have demonstrated significant buying appetite for SpaceX stock. Data from Vanda Research indicates that retail buyers purchased as much SpaceX stock over its first two days of trading as they bought across the entire US stock market last week. This robust demand easing concerns regarding the market's capacity to absorb such a high-profile IPO offering.