SpaceX Stock Has Plunged 34%. Elon Musk's "Secret Master Plan" Points to What Could Come Next.
Elon Musk has battled plunging stock prices before.
Overview
Space Exploration Technologies (NASDAQ: SPCX) executed a flawless IPO. At least that's the way things began. The company's underwriters rapidly sold all available stock, triggering "greenshoe" options that ultimately netted SpaceX $85.7 billion in proceeds. Shares quickly skyrocketed well above $200 despite an initial IPO price of $135. And SpaceX took advantage of the enthusiasm by executing a scaled-up $25 billion bond offering.
Since shares reached an all-time high of $225.64 on June 15, with a peak valuation of around $3 trillion, SpaceX stock has fallen off a cliff. Shares are currently 34% lower than that peak, leaving many investors underwater.
Details
Still, SpaceX is now armed with capital, especially considering its $60 billion acquisition of AI tooling start-up Cursor was paid for in stock, not cash. Regardless of where the stock price goes from here, expect SpaceX to go on a spending spree.
Source
Originally published at www.fool.com.