Since hitting a peak of $225.64 in June, SpaceX (SPCX.O) has lost over $1.2 trillion in market capitalization, almost exactly equivalent to the entire market capitalization of Tesla (TSLA.O), another company under Musk's umbrella. Tesla's stock price recently fell to its lowest level in nearly a year. Meanwhile, Musk's net worth has shrunk to approximately $710 billion, after reaching a personal wealth record of over $1.3 trillion in mid-June. Charles Moon, a technology and momentum strategist at the Chicago-based Prosper Trading Academy, stated, "As an investor, it's too early; but as a trader, Wall Street is punishing AI stocks for capital expenditures." SpaceX will release its first earnings report since its IPO next week. On the second full trading day after the earnings release (August 6), holders can sell up to 20% of their eligible lock-up shares, totaling approximately 911.5 million shares. Some analysts believe that the lock-up period may not be as bad as the market fears, but it won't help reverse the downward trend.
