SpaceX (SPCX), Rebounds After Plunge...Can It Withstand the $98.7 Billion Flood of Shares?

▲ SpaceX (SPCX), stock price plunge/AI generated image

SpaceX (SPCX) rebounded by 4.15% just one day after a 13.61% plunge. However, $98.7 billion worth of escrowed shares have been released, and eight more releases are scheduled until the end of the year.

BeInCrypto reported on August 6 (local time) that SpaceX's stock price rose to $112.76 in the New York morning session, recovering some of the previous day's losses. On the same day, Eric Trump directly refuted a Bloomberg column that criticized Elon Musk as someone who makes too many promises.

Eric Trump claimed, “SpaceX accounted for approximately 80% to 85% of the world's orbital launch mass in 2025,” and “Falcon 9 has had zero failures in 165 launches.” The media pointed out that while Falcon 9 did indeed have 165 launches in 2025, the proportion of global launch mass is difficult to verify with publicly available data alone. Musk shared the post and strongly criticized Bloomberg.

The direct cause of the stock price plunge was investment expenditure rather than performance. SpaceX's quarterly revenue increased by 92% year-over-year to $7.8 billion, exceeding market expectations of $6.8 billion. In contrast, capital expenditure reached $18.4 billion, significantly surpassing the estimated $13 billion. With expenditures confirmed to be more than double the revenue, the stock closed at $108.27 on the 5th, down 13.61%.

Selling pressure also began to intensify. Approximately 911.5 million escrowed shares became tradable starting that day, with a value of about $98.7 billion based on the previous day's closing price. The proportion of tradable shares increased from approximately 5% to 12% of the company's total. Short selling volume increased from 165 million shares on July 15 to approximately 219 million shares on July 29, increasing the likelihood of a short-term rebound due to short covering.

The release of escrowed shares does not necessarily lead to a stock price decline. Facebook fell by over 6% when its first escrowed shares were released in 2012, but rose by 12.6% on the second release day when 773 million shares were released. SpaceX has eight more releases scheduled until December, and the escrow on Musk's holdings will remain until 2027.

[Key Article Summary]

-SpaceX's stock price rebounded by 4.15% to $112.76 the day after a 13.61% plunge.

-Approximately 911.5 million escrowed shares were released, with a value of $98.7 billion based on the previous day's closing price.

-Eight additional releases are scheduled until the end of the year, making the expansion of circulating shares a key variable for the stock price.

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