SpaceX shares failed their second major post-IPO supply test on Thursday, falling 4.1% as approximately 319 million shares held by employees and early investors became eligible for sale.
The stock closed at $133.94, down $5.71, after falling as low as $130.43 during the session. That left SpaceX below its $135 IPO price for the first time at the close since its powerful rebound earlier this month.
At Thursday’s closing price, the newly unlocked shares carried a theoretical value of approximately $42.7 billion. That does not mean $42.7 billion of stock was sold. An unlock simply removes contractual restrictions and allows qualifying shareholders to sell, transfer or lend their shares.
The distinction matters because Thursday’s release did not create new stock or dilute existing shareholders. It increased the potential supply available to the market — and investors showed less willingness to absorb that supply at recent prices.
SpaceX’s first major unlock produced the opposite reaction. On Aug. 6, approximately 911.5 million shares became eligible for sale, yet the stock rose 6.1% that day to $114.92. It then jumped nearly 16% the following session and gained approximately 23% for the week, as buyers overwhelmed whatever selling emerged.
Thursday’s smaller unlock delivered a weaker result. SpaceX traded nearly 119 million shares during the session, meaning the entire 319 million-share tranche was equivalent to almost three times one day’s actual trading volume.
The pressure is not over. Another approximately 319 million shares are scheduled to become eligible in September, followed by a much larger release tied to SpaceX’s third-quarter earnings. Additional shares are expected to unlock in December.
Elon Musk’s holdings remain subject to longer restrictions and were not part of Thursday’s release.
For investors, the arithmetic is straightforward: the first unlock showed that additional supply can be absorbed when demand is strong. The second showed that the market’s appetite has limits — especially when the stock is approaching its IPO price and billions of additional shares are still waiting to enter the tradable market.
JBizNews Desk | New York
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