SpaceX IPO Faces Setback as Space Stocks Decline
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1 hour ago
0mins
Source: stocktwits
- Space Stock Decline: Space stocks fell overnight as S&P announced no changes to eligibility criteria for newly listed megacaps, with AST SpaceMobile down 2%, Rocket Lab and Redwire each down 3%, and Sidus Space down 1%, reflecting market disappointment over SpaceX's IPO prospects.
- Financial Challenges for SpaceX: Reporting a net loss of $4.94 billion in 2025, SpaceX fails to meet S&P 500's profitability requirements, hindering its potential rapid inclusion in the index post-IPO and dampening investor demand expectations for its shares.
- IPO Pricing and Market Potential: SpaceX plans to sell 555.6 million shares at $135 each, raising $75 billion and achieving a valuation of $1.77 trillion, although concerns about its weak financials contrast with its claim of having the “largest actionable total addressable market in human history,” raising investor apprehensions.
- Opportunities with Nasdaq: Despite S&P's ruling posing a hurdle for SpaceX, Nasdaq has revised its rules to facilitate the inclusion of newly listed megacaps into the Nasdaq-100, potentially providing SpaceX with a new pathway to attract investor interest and capital.
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Analyst Views on ASTS
Wall Street analysts forecast ASTS stock price to fall
8 Analyst Rating
3 Buy
4 Hold
1 Sell
Hold
Current: 107.730
Low
43.00
Averages
91.68
High
137.00
Current: 107.730
Low
43.00
Averages
91.68
High
137.00
About ASTS
AST SpaceMobile, Inc. is engaged in building a global cellular broadband network in space to operate directly with standard, unmodified mobile devices based on its intellectual property (IP) and patent portfolio and designed for both commercial and government applications. The Company is engaged in designing and developing the constellation of BlueBird (BB) satellites and has planned a space-based Cellular Broadband network distributed through a constellation of low Earth orbit (LEO) satellites. Its SpaceMobile Service is being designed to provide high-speed cellular broadband services to end-users who are out of terrestrial cellular coverage using existing mobile devices. The Company intends to continue testing capabilities of the BW3 test satellite, including further testing with cellular service providers and the government. The Company has operations in India, Scotland, Spain, and Israel.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
AST SpaceMobile Shares Surge 53.5% Amid Market Speculation
- Stock Surge: AST SpaceMobile's shares jumped 53.5% last month, reflecting optimistic market sentiment about its future potential, especially ahead of the upcoming SpaceX IPO, with a staggering 389% increase over the past year.
- Market Positioning: Competing directly with Starlink in satellite internet, AST SpaceMobile aims to deliver high-speed internet directly to mobile devices through ultra-large array technology, eliminating the need for terminal devices, although it is still in the satellite deployment phase with minimal revenue.
- Financial Strength: With a cash balance of $3 billion at the end of the last quarter, AST SpaceMobile is well-positioned to continue advancing satellite construction and launch contracts, with projected revenues of $150 million to $200 million by 2026, primarily driven by U.S. government contracts and partnerships with global mobile carriers.
- Market Risks: Despite AST SpaceMobile's vast potential, its stock price already reflects expectations of success, with a current market cap of $46 billion, prompting caution among investors due to the uncertainties involved in building a satellite internet service, which could lead to disappointment in the coming years.
See More
SpaceX IPO Faces Setback as Space Stocks Decline
- Space Stock Decline: Space stocks fell overnight as S&P announced no changes to eligibility criteria for newly listed megacaps, with AST SpaceMobile down 2%, Rocket Lab and Redwire each down 3%, and Sidus Space down 1%, reflecting market disappointment over SpaceX's IPO prospects.
- Financial Challenges for SpaceX: Reporting a net loss of $4.94 billion in 2025, SpaceX fails to meet S&P 500's profitability requirements, hindering its potential rapid inclusion in the index post-IPO and dampening investor demand expectations for its shares.
- IPO Pricing and Market Potential: SpaceX plans to sell 555.6 million shares at $135 each, raising $75 billion and achieving a valuation of $1.77 trillion, although concerns about its weak financials contrast with its claim of having the “largest actionable total addressable market in human history,” raising investor apprehensions.
- Opportunities with Nasdaq: Despite S&P's ruling posing a hurdle for SpaceX, Nasdaq has revised its rules to facilitate the inclusion of newly listed megacaps into the Nasdaq-100, potentially providing SpaceX with a new pathway to attract investor interest and capital.
See More
NASA ETF Reaches Record $2.6 Billion in Assets Amid SpaceX IPO Fever
- Significant Asset Growth: Since its launch in March, the NASA ETF has grown to a record $2.6 billion in assets, reflecting a 50% increase, which indicates strong investor interest and confidence in the space sector.
- Optimized Holdings Structure: SpaceX accounts for 6.9% of the NASA ETF, while Rocket Lab is the largest holding at 10.1%, demonstrating a diversified approach within the fund's space investment portfolio.
- Surge in Market Demand: As SpaceX prepares for what could be the largest IPO in Wall Street history on June 12, retail investor enthusiasm for space ETFs has surged, pushing NASA ETF assets to surpass $5 billion in early 2026, with a staggering annual growth of over 900%.
- Future Growth Potential: Oppenheimer raised its price target on Iridium Communications from $48 to $60, anticipating that it will benefit from SpaceX's expansion, highlighting the potential growth opportunities and investment value within the space economy.
See More
SpaceX Plans to Raise $75 Billion at $135 per Share
- Massive Fundraising: SpaceX plans to issue 555.6 million shares at $135 each, aiming to raise $75 billion, which values the company at $1.77 trillion, exceeding $1.8 trillion on a fully diluted basis, highlighting its immense market potential in the space industry.
- Ongoing Capital Needs: While the IPO will provide financial flexibility, analyst AleXandra Merz notes that the company's capital requirements are projected to reach $235 billion by 2030, indicating that this fundraising is merely the first step in its funding journey.
- Market Weakness: Ahead of SpaceX's IPO, space stocks experienced significant declines, with shares of AST SpaceMobile, Rocket Lab, Virgin Galactic, and Redwire dropping by up to 15%, reflecting investor concerns over SpaceX's valuation and shifting market sentiment.
- Short Selling Opportunities: Jefferies' absence from the underwriting syndicate may create opportunities for short selling, as analyst Tim Farrar reiterated the view that 'betting against space' could be a rational approach in the current market environment.
See More
SpaceX Plans to Raise $75 Billion at $135 per Share
- Funding Scale and Valuation: SpaceX plans to issue 555.6 million shares at $135 each, aiming to raise $75 billion and achieve a valuation of $1.77 trillion, exceeding $1.8 trillion on a fully diluted basis, highlighting its immense potential in the aerospace market.
- Funding Needs and Strategy: While this financing will provide financial flexibility, analyst AleXandra Merz noted that SpaceX anticipates needing up to $235 billion by 2030 to support Starlink expansion, Starship development, and AI infrastructure, indicating that this IPO is merely a part of its funding journey.
- Market Reaction and Investor Sentiment: Ahead of SpaceX's IPO, space stocks experienced significant declines, with AST SpaceMobile, Rocket Lab, and Virgin Galactic seeing drops of up to 15%, reflecting market concerns over SpaceX's valuation and a bearish sentiment towards the aerospace sector.
- Shorting Opportunities and Risks: Jefferies' absence from the SpaceX IPO underwriting may create opportunities for short trades, with analyst Tim Farrar reiterating the view that 'betting against space' is rational, as SpaceX faces a challenging year ahead to achieve Starlink's financial viability amidst negative cash flow.
See More
SpaceX IPO Approaches, Space Stocks Gain Attention
- AST SpaceMobile Growth Potential: AST SpaceMobile aims for $150 million to $200 million in revenue for 2026, a significant increase from $70.9 million in 2025, indicating strong demand and potential profitability in the global telecom market.
- Intuitive Machines' Contract Advantage: Intuitive Machines secured lunar reconnaissance contracts with NASA, projecting 2026 revenues of $900 million to $1 billion, highlighting its critical role in space infrastructure and future growth potential.
- Rocket Lab's Performance Breakthrough: Rocket Lab achieved $200 million in revenue in Q1 2026, a 63.5% year-over-year increase, with a $2.2 billion backlog, demonstrating strong demand and sustained growth in the space launch market.
- Overall Industry Optimism: As the SpaceX IPO approaches, overall investment enthusiasm in the space sector is rising, expected to attract more capital inflow, boosting stock prices of related companies and accelerating industry development.
See More
AST SpaceMobile Shares Surge 53.5% Amid Market Speculation
- Stock Surge: AST SpaceMobile's shares jumped 53.5% last month, reflecting optimistic market sentiment about its future potential, especially ahead of the upcoming SpaceX IPO, with a staggering 389% increase over the past year.
- Market Positioning: Competing directly with Starlink in satellite internet, AST SpaceMobile aims to deliver high-speed internet directly to mobile devices through ultra-large array technology, eliminating the need for terminal devices, although it is still in the satellite deployment phase with minimal revenue.
- Financial Strength: With a cash balance of $3 billion at the end of the last quarter, AST SpaceMobile is well-positioned to continue advancing satellite construction and launch contracts, with projected revenues of $150 million to $200 million by 2026, primarily driven by U.S. government contracts and partnerships with global mobile carriers.
- Market Risks: Despite AST SpaceMobile's vast potential, its stock price already reflects expectations of success, with a current market cap of $46 billion, prompting caution among investors due to the uncertainties involved in building a satellite internet service, which could lead to disappointment in the coming years.
See More
SpaceX IPO Faces Setback as Space Stocks Decline
- Space Stock Decline: Space stocks fell overnight as S&P announced no changes to eligibility criteria for newly listed megacaps, with AST SpaceMobile down 2%, Rocket Lab and Redwire each down 3%, and Sidus Space down 1%, reflecting market disappointment over SpaceX's IPO prospects.
- Financial Challenges for SpaceX: Reporting a net loss of $4.94 billion in 2025, SpaceX fails to meet S&P 500's profitability requirements, hindering its potential rapid inclusion in the index post-IPO and dampening investor demand expectations for its shares.
- IPO Pricing and Market Potential: SpaceX plans to sell 555.6 million shares at $135 each, raising $75 billion and achieving a valuation of $1.77 trillion, although concerns about its weak financials contrast with its claim of having the “largest actionable total addressable market in human history,” raising investor apprehensions.
- Opportunities with Nasdaq: Despite S&P's ruling posing a hurdle for SpaceX, Nasdaq has revised its rules to facilitate the inclusion of newly listed megacaps into the Nasdaq-100, potentially providing SpaceX with a new pathway to attract investor interest and capital.
See More
NASA ETF Reaches Record $2.6 Billion in Assets Amid SpaceX IPO Fever
- Significant Asset Growth: Since its launch in March, the NASA ETF has grown to a record $2.6 billion in assets, reflecting a 50% increase, which indicates strong investor interest and confidence in the space sector.
- Optimized Holdings Structure: SpaceX accounts for 6.9% of the NASA ETF, while Rocket Lab is the largest holding at 10.1%, demonstrating a diversified approach within the fund's space investment portfolio.
- Surge in Market Demand: As SpaceX prepares for what could be the largest IPO in Wall Street history on June 12, retail investor enthusiasm for space ETFs has surged, pushing NASA ETF assets to surpass $5 billion in early 2026, with a staggering annual growth of over 900%.
- Future Growth Potential: Oppenheimer raised its price target on Iridium Communications from $48 to $60, anticipating that it will benefit from SpaceX's expansion, highlighting the potential growth opportunities and investment value within the space economy.
See More
SpaceX Plans to Raise $75 Billion at $135 per Share
- Massive Fundraising: SpaceX plans to issue 555.6 million shares at $135 each, aiming to raise $75 billion, which values the company at $1.77 trillion, exceeding $1.8 trillion on a fully diluted basis, highlighting its immense market potential in the space industry.
- Ongoing Capital Needs: While the IPO will provide financial flexibility, analyst AleXandra Merz notes that the company's capital requirements are projected to reach $235 billion by 2030, indicating that this fundraising is merely the first step in its funding journey.
- Market Weakness: Ahead of SpaceX's IPO, space stocks experienced significant declines, with shares of AST SpaceMobile, Rocket Lab, Virgin Galactic, and Redwire dropping by up to 15%, reflecting investor concerns over SpaceX's valuation and shifting market sentiment.
- Short Selling Opportunities: Jefferies' absence from the underwriting syndicate may create opportunities for short selling, as analyst Tim Farrar reiterated the view that 'betting against space' could be a rational approach in the current market environment.
See More
SpaceX Plans to Raise $75 Billion at $135 per Share
- Funding Scale and Valuation: SpaceX plans to issue 555.6 million shares at $135 each, aiming to raise $75 billion and achieve a valuation of $1.77 trillion, exceeding $1.8 trillion on a fully diluted basis, highlighting its immense potential in the aerospace market.
- Funding Needs and Strategy: While this financing will provide financial flexibility, analyst AleXandra Merz noted that SpaceX anticipates needing up to $235 billion by 2030 to support Starlink expansion, Starship development, and AI infrastructure, indicating that this IPO is merely a part of its funding journey.
- Market Reaction and Investor Sentiment: Ahead of SpaceX's IPO, space stocks experienced significant declines, with AST SpaceMobile, Rocket Lab, and Virgin Galactic seeing drops of up to 15%, reflecting market concerns over SpaceX's valuation and a bearish sentiment towards the aerospace sector.
- Shorting Opportunities and Risks: Jefferies' absence from the SpaceX IPO underwriting may create opportunities for short trades, with analyst Tim Farrar reiterating the view that 'betting against space' is rational, as SpaceX faces a challenging year ahead to achieve Starlink's financial viability amidst negative cash flow.
See More
SpaceX IPO Approaches, Space Stocks Gain Attention
- AST SpaceMobile Growth Potential: AST SpaceMobile aims for $150 million to $200 million in revenue for 2026, a significant increase from $70.9 million in 2025, indicating strong demand and potential profitability in the global telecom market.
- Intuitive Machines' Contract Advantage: Intuitive Machines secured lunar reconnaissance contracts with NASA, projecting 2026 revenues of $900 million to $1 billion, highlighting its critical role in space infrastructure and future growth potential.
- Rocket Lab's Performance Breakthrough: Rocket Lab achieved $200 million in revenue in Q1 2026, a 63.5% year-over-year increase, with a $2.2 billion backlog, demonstrating strong demand and sustained growth in the space launch market.
- Overall Industry Optimism: As the SpaceX IPO approaches, overall investment enthusiasm in the space sector is rising, expected to attract more capital inflow, boosting stock prices of related companies and accelerating industry development.
See More
