On May 21, SpaceX officially filed its S-1 prospectus with the SEC, planning to list on NASDAQ under the ticker 'SPCX'. This IPO is expected to raise around $75 billion, targeting a valuation as high as $1.75 trillion, which would make it the largest stock issuance in history.
According to the timeline disclosed in the prospectus, SpaceX will kick off its investor roadshow the week of June 8, host a retail investor event on June 11, price the shares on the same day, and officially start trading on NASDAQ on June 12. A major highlight of this IPO is the significant increase in the allocation for retail investors. SpaceX's CFO Bret Johnsen clearly stated that retail investors will be a 'key part' of this IPO, accounting for more than any previous IPO. Retail investors can receive up to 30% of the new shares, which is 3 to 6 times the industry norm of 5%-10%. Retail participation will be available through brokers like Charles Schwab, Fidelity, Robinhood, SoFi, and Morgan Stanley's E TRADE platform will also provide retail channels. Furthermore, SpaceX may waive the 6-month lock-up period for retail investors, allowing shares to be freely traded on the first day of listing. In addition to the U.S., investors from the UK, EU, Australia, Canada, Japan, and South Korea will also have the opportunity to participate.
It's worth noting that SpaceX warned in the prospectus of expected high retail demand, which could exacerbate stock price volatility post-listing. Analysts suggest that due to the limited allocation of shares for retail at the IPO price, most retail investors are expected to buy in through the secondary market after the opening on June 12. On the risk front, despite SpaceX's strong business growth, with revenues projected to reach $18.67 billion in 2025 and Starlink surpassing 10 million users with a quarterly profit of $1.19 billion, the company is still in a loss position overall, projecting a net loss of $4.9 billion in 2025 with negative free cash flow.
Additionally, Musk retains 85.1% voting control through super-voting shares, meaning SPCX shareholders will have little say in major decisions. The $1.75 trillion valuation corresponds to 58 to 65 times the expected revenue for 2026, and the market is pricing in perfect execution; any performance below expectations could trigger a significant valuation correction.
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