Key takeaways from article by Tyler Roush:
*Shares of SpaceX declined by more than 6% to just under $179 as of Thursday afternoon, extending Wednesdayâs decline of nearly 5% and a 20% dive since hitting a high above $225 on Tuesday.*
*That marks a roughly $620 billion reduction in SpaceXâs market value since its Tuesday peak, lowering to $2.37 trillion from about $2.99 trillion, when SpaceX ranked the worldâs fourth-largest company ahead of Amazon and Microsoft (it now ranks seventh, behind No. 6 TSMC at $2.38 trillion).*
*SpaceX on Tuesday disclosed it would acquire Cursor for $60 billion in stock, representing roughly 3.4% dilutionâmeaning investor stakes will represent a smaller percentage of the companyâof SpaceXâs $1.77 trillion IPO valuation.*
*Morningstar analysts lowered its fair value estimate for SpaceX to $62 from $63, citing a âsizable dilutionâ of SpaceX shares following the Cursor deal, noting a best-case scenario would price shares at $169 should its AI revenue improve.*
*Itâs a cooling from the record-setting demand since its debut: Investors purchased $369.8 million in SpaceX shares over its first three sessions, accounting for more than quadruple the funds poured into Nvidia ($88.2 million) over the same period, according to a Vanda Research note on Wednesday.*
*Option trading for SpaceX also debuted on Tuesday, allowing investors to bet against the stock, and Susquehanna analyst Chris Murphy wrote in a note that there was a 15% chance the stock would lose half its value over the next three months because of option trades.*