SpaceX's Slide Extends as Share Drop Hits 3rd Day

SpaceX shares fell for a third straight trading day on Monday, pushing the stock further below its IPO price after a blockbuster debut earlier this month.

The company's stock dropped about 4.5% in midday trading, paring gains from a rally that briefly valued the rocket-and-satellite firm above $300 billion. The decline comes as some early investors lock in profits following an IPO that priced at $135 a share and opened north of $200 on day one.

Trading volume remained elevated, with more than 18 million shares changing hands by early afternoon. The float is thin relative to demand, which amplifies each swing. Analysts pointed to a lack of fresh near-term catalysts now that the IPO euphoria has faded.

SpaceX has no earnings calls or quarterly reports since it is not a traditional public company. The only scheduled event on the horizon is a Starship test flight in late June, which could rekindle interest if successful.

The selloff has wiped out roughly $30 billion in market capitalization over the three sessions. At Monday's low, the stock traded at $211, down about 25% from its intraday peak of $282 on listing day.

Some traders see the pullback as healthy, saying the debut rally overshot reasonable valuation. Others warn that the thin float and retail-driven order flow could prolong the slide before stabilizing.

SpaceX did not respond to a request for comment on the stock's performance.