SpaceX Unlocks $31.9 Billion Worth of Restricted Shares, Investors Watch Whether Musk’s Employees Will Sell!
The second round of restricted shares after SpaceX's IPO is about to be lifted, with up to 319 million shares held by insiders set to become tradable on August 20 local time, accounting for about 7% of shares held by early investors and employees.
These shares were previously subject to a 180-day lock-up period and will be released in phases according to company arrangements before December 2026. This unlocking means more employees and investors who received SpaceX shares before the IPO can sell their shares, and the market will watch closely to see if the new supply will put pressure on the stock price. However, shares held by SpaceX CEO Elon Musk and some key investors remain in a longer lock-up period and will not be affected by this lock-up.
SpaceX uses a phased unlocking mechanism, with each lock-up period ending to increase the number of shares in the market. Morgan Stanley believes that the pressure to lift restrictions may not be a risk, but rather an investment opportunity. The previous large-scale unlocking did not trigger significant sell-offs. On August 6, about 911 million SpaceX shares were eligible for sale for the first time. As of the close on August 7, SpaceX's stock price had actually risen by 23%. The pressure from the end of the lock-up
period is an opportunity, not a risk; it offers a rare entry into a long-term compound growth company capable of converting energy into large-scale expansion capabilities.
Investors had previously reduced risk in advance due to severe anxiety, but actual market selling pressure was lower than expected. The stock price performance after the initial unlock sent positive signals, as the newly unlocked shareholders did not sell off their shares as heavily as the market had expected.
The long-term confidence of SpaceX employees is also an important factor in the market's judgment of selling pressure. Many employees recognize the company's long-term goals, including visions like exploring Mars, so some may only slightly reduce their holdings, while more insiders may continue to hold shares. Beyond aerospace, AI deployment is becoming an important support for SpaceX's valuation. In recent years, SpaceX has expanded from a rocket launch company into a comprehensive technology group covering aerospace, satellite communications, computing power, and artificial intelligence businesses. The company is enhancing its AI capabilities through mergers, acquisitions, and partnerships to participate in the AI competition.
SpaceX recently approached AI programming startup Cognition AI to explore potential acquisitions. If the deal goes through, it will mark another major recent attempt by SpaceX to strengthen its AI strategy. However, Cognition AI has not accepted any acquisition approaches. SpaceX is focusing on Cognition not only for its technical capabilities but also for its commercialization progress. The company has established partnerships with companies such as Mercedes-Benz Group and GE Aerospace, and these customer resources may help SpaceXAI expand its enterprise market.
Market Insight:
Since going public more than two months ago, SpaceX's stock price dropped to a low of $104.83 and peaked at $225.64. Despite pressure to unlock restricted shares, Wall Street remains optimistic about SpaceX's long-term growth potential. The market is focused not only on rocket and satellite businesses but also on expansion in artificial intelligence and computing infrastructure.
