SpaceX Opens At $150 Following Largest IPO Ever

SpaceX’s (SPCX) stock opened at $150 Friday, an 11% jump on its first day of trade following a record-breaking IPO.

The rocket and satellite company priced its IPO Thursday night at $135 a share ahead of today’s debut on the Nasdaq (^IXIC), trading under the ticker SPCX (SPCX).

“SpaceX going public is an important moment for the broader tech sector in our view as this AI Revolution and data takes this next step forward,” Wedbush analyst Dan Ives wrote in a note to investors Friday morning.

SpaceX stock hit $168 shortly after opening, but pared some of those gains in midday trade.

Some on the street believe the stock will be volatile for days to come.

“The stock is bound to be volatile,” said Howard Chan, Founder and CEO of Kurv Investment Management. “Maybe it’s better to harvest volatility premium while the equity price settles down.”

SpaceX offered 555.6 million shares to hit a record $75 billion raised. Underwriters are holding a “greenshoe” — or option to sell additional shares if demand outstrips the initial allotment — of approximately 83 million shares, worth around $11.2 billion. The terms of the offering set an initial stock market value for SpaceX at around $1.78 trillion.

The biggest open question is how much ends up with retail investors. SpaceX is reportedly targeting a retail allocation of roughly 30% — far above the 5% to 10% typical of most IPOs — but the final figure remains unsettled. Reports suggest SpaceX drew retail orders in excess of $100 billion.

The company reportedly told investors it would stop taking orders on Wednesday, a day earlier than usual, giving SpaceX and its bankers all of Thursday to determine who gets shares in the largest IPO ever.

In addition, SpaceX’s IPO shares ran four times oversubscribed, per Reuters, which indicates strong demand; however, this amount is often inflated by institutional investors to make sure they receive enough stock for their clients. In actuality, demand could be less, adding to the uncertainty.

The public debut of Elon Musk’s rocket and AI company is expected to make history.