SpaceX (NASDAQ: SPXC) shares jumped 10.4% in premarket trading on June 16, pushing its market cap toward $2.8 trillion and threatening to overtake Amazon’s valuation.

Key Highlights

  • SpaceX (NASDAQ: SPXC) shares rose 10.4% to $212.50 in premarket trading, extending a 57% gain above its $135 IPO price.
  • The rally could push SpaceX’s market capitalization to $2.8 trillion, surpassing Amazon’s $2.66 trillion valuation.
  • The company reported $18.67 billion in sales last year but posted a $4.94 billion net loss after merging with xAI.
  • SpaceX’s underwriters exercised a greenshoe option, increasing total IPO proceeds to $85.7 billion from $75 billion.
  • Index providers FTSE Russell and MSCI will add SpaceX to their benchmarks on June 26 and June 29, respectively.

SpaceX (NASDAQ: SPXC) continued its post-IPO momentum on June 16, with shares climbing 10.4% in premarket trading to $212.50. The gain extended the stock’s rally to 57% above its $135 offering price, positioning the company to challenge Amazon’s (NASDAQ: AMZN) $2.66 trillion market capitalization.

If the rally holds, SpaceX could reach nearly $2.8 trillion in valuation, potentially making it one of the largest companies globally. The surge comes despite mixed financial results, including $18.67 billion in revenue last year and a $4.94 billion net loss following its merger with xAI. Some analysts have described the buying as driven by speculative interest rather than traditional fundamentals.

Trading activity reflected strong investor demand. Early volume was substantial, with significant interest from market participants. Options trading is expected to commence soon, which may introduce additional volatility.

The stock’s inclusion in major indexes could further boost its profile. SpaceX is set to join the Nasdaq 100, making it a key holding for passive funds and ETFs tracking the benchmark. FTSE Russell and MSCI will also add the stock to their indexes on June 26 and June 29, respectively.

Underwriters exercised a greenshoe option, increasing total IPO proceeds to $85.7 billion from the initial $75 billion raised last week. The move underscores strong investor appetite, though some analysts caution about potential volatility given the stock’s limited float and high valuation.

Other tech heavyweights traded lower in premarket activity. Tesla fell 1.5%, while Nvidia and Alphabet (NASDAQ: GOOGL) saw modest declines. The contrast highlights the heightened focus on SpaceX’s debut, even as broader market sentiment remains cautious.

This article is for informational purposes only and does not constitute financial advice. Please consult a licensed financial adviser before making investment decisions.