Elon Musk's net worth has undergone significant changes as SpaceX shares experience a period of decline. On Wednesday, SpaceX shares reached an all-time low.
SpaceX Stock Decline
Within just 24 hours of being included in the Nasdaq-100 index, the company's shares faced intense selling. During trading on Wednesday, the price of SpaceX stock fell below its initial IPO price. Although there was a slight improvement at the start of Thursday's trading, the shares are currently trading around the $150 mark.
Investors expected that inclusion in the 'Nasdaq-100' would strengthen the value of SpaceX shares, but reality proved otherwise. Over the past five days, the company's shares have dropped by more than 10 percent, and from the record high in June, they have fallen by more than 35 percent.
Valuation and Financial Performance
Market experts question the significant gap between the company's high valuation and its actual profitability. SpaceX's current market capitalization is approximately $1.95 trillion (about $200 billion), while the company's profit at this level is virtually non-existent. According to data, despite revenue exceeding $18.5 billion last year, SpaceX incurred a significant net loss of about $5 billion.
External Influencing Factors
The drop in SpaceX shares coincided with the announcement by Blue Origin, founded by Jeff Bezos, regarding fundraising in the market. Blue Origin took the first step toward attracting external investors, as it is in the process of raising a new fund of $10 billion at a valuation of $130 billion.
The decrease in SpaceX's share value led to a substantial reduction in Elon Musk's net worth. According to Bloomberg's billionaires index, his wealth has decreased to $932 billion. On Thursday, his wealth decreased by approximately $62.7 billion. Previously, after SpaceX's listing, Elon Musk became a trillionaire, meaning his net worth exceeded one trillion dollars.
Reasons for Decline and Forecasts
The fall in SpaceX shares is due not only to internal factors but also to general instability in the global Nasdaq markets. The rise in crude oil prices due to escalating tensions between the US and Iran has negatively impacted American stock markets. Nevertheless, many analysts remain optimistic about SpaceX. They believe that SpaceX's recently launched artificial intelligence model and the expansion of services like Starlink could restore the company's strong position in the long term.