SpaceX is back in the spotlight, but not for the reasons investors had hoped.
The stock fell to a record low last Friday, leaving it around 20% below its $135 IPO price and roughly 50% beneath the all-time high of $225.60.
The company will report earnings on Tuesday for the first time since going public. Just two days later, one of the largest share unlocks in market history could add another source of volatility.
Market expectations
Quarterly revenue is forecast to rise to $6.9 billion from $4.7 billion in the previous quarter. However, analysts still expect the company to report a net loss of about $2 billion.
What to watch
The headline figures will matter, but investors will be even more focused on how SpaceX is allocating capital and whether its major growth projects are moving toward profitability.
• Capital spending and funding requirements for Starship
• Starlink subscriber growth and revenue momentum
• Management’s outlook for future investment and cash flow
How could SpaceX shares react?
Options markets are pricing in a post-earnings move of around 13% in either direction. A stronger-than-expected report could trigger a sharp rebound, while disappointing guidance may extend the stock’s decline.
Nearly 1 billion shares unlocked
On Thursday, August 6, the IPO lock-up period expires. Up to 911.5 million shares, potentially worth as much as $120 billion, will become eligible for sale.
This is not a standard earnings setup. Investors are facing both an earnings catalyst and a potentially significant increase in available share supply within just 48 hours.
