Shares of SpaceX (SPCX) are flat on Wednesday after a recent rough patch. The stock is in the spotlight as CEO Elon Musk’s other company, Tesla (TSLA), reported second-quarter earnings after the bell.
Despite Tuesday’s strong performance, shares of the rocket launch company are down 20% since the start of last week. The drop also coincided with the company abandoning plans to launch Starship V3, the company’s newest spacecraft, last Thursday evening due to engine failure.
SpaceX shares sold off during the next trading session on Friday and hit an all-time closing low of $119.85 on Monday.
Without any new catalysts for the stock, some market watchers are looking at $100 as the next price level to watch. Meanwhile, SpaceX has lost more than $1.1 trillion in market value.
Price levels are an important market for investors to keep an eye on. The stock first closed below $150 on July 10, the price it debuted at. A week later, on the 17th, the stock closed below $125, its IPO price on June 12th.
The company says it is targeting Thursday as the next earliest Starship test, which could be hugely significant for Musk and SpaceX.
But a bigger catalyst could come on August 4, when the company announces it will release second-quarter financial results. Investors assessing the company’s health will be closely watching Starlink’s business growth, new AI computing deals, and spending on AI products such as Grok.
The SpaceX Starship mega-rocket stands on the launch pad after its test flight was aborted when some engines failed to fire, in Starbase, Texas, Thursday, July 16, 2026. (AP Photo/Eric Gay) · AP Photo/Eric Gay
In addition, the first major release of shares to insiders will take place on August 6, with up to 900 million shares, or approximately 20% of the relevant locked-up shares, becoming available for trading. An additional 10% is unlocked if the stock trades at or above $175.50 for 5 out of 10 consecutive trading days.
Meanwhile, Tesla reports second-quarter results Wednesday evening. Tesla’s stock performance is notable for SpaceX investors as Musk has reportedly discussed merging the two companies.
The SpaceX-Tesla merger is becoming more difficult as SpaceX shares fall and Tesla shares rise: SpaceX is believed to be an acquirer since Musk has a much larger stake in the company than Tesla.
Pras Subramanian is Yahoo Finance’s senior transportation reporter. You can follow him X and further Instagram.
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