SpaceX stock drops as second post-IPO share lockup expires

SpaceX shares fell sharply in early Thursday trading and briefly slipped below the $135 IPO price as a second post-IPO lockup tranche of roughly 319 million shares, about 7% of insider-held stock, became eligible on August 20. The stock dropped nearly 5% before paring losses, with pre-market indications around $138.40, down about 0.9%; earlier session reporting had also shown a decline of 5.49% to $131.98. The Day 70 release follows an August 6 unlock of about 911.5 million to 912 million shares that the market absorbed, with the stock surging as much as 23% by the next close. Analysts including Morgan Stanley’s Adam Jonas framed the expirations as a potential entry point, while further large unlocks are still ahead, including a roughly 1.3 billion-share tranche around early November and the 180-day lockup expiry in December; Elon Musk’s 6.42 billion shares remain locked until June 2027. Investors are also focused on SpaceX’s AI strategy after its completed $60 billion purchase of Cursor and reports it had approached Cognition AI, which both Cognition CEO Scott Wu and Musk denied.

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