Tom Lee Says 3 AI IPOs Adding 5%-6% Supply Won't Sink S&P 500

4 articles · Updated · CoinDesk · May 22

Trillions of dollars in potential equity from SpaceX, OpenAI and Anthropic would equal roughly 5% to 6% of the S&P 500's market value, but Tom Lee says that supply should be absorbed rather than trigger a broad selloff.
Lee argues family offices, pensions and wealthy investors are still underallocated to public equities after years favoring private markets, leaving capital available to rotate into newly listed U.S. stocks.
SpaceX could be the biggest test: Lee said a valuation above $1.5 trillion would make Elon Musk's company the second-largest IPO ever in inflation-adjusted terms, behind only Saudi Aramco.
He also expects some early holders to hedge or borrow against shares after the usual 90-day lockup instead of selling immediately, limiting pressure from a flood of stock.
Lee tied the IPO discussion to Wall Street's broader push into tokenisation, saying blockchain's instant settlement and 24/7 trading are drawing banks toward the convergence of crypto, AI and finance.

With three AI titans launching trillion-dollar IPOs, can the market truly absorb this supply without a widespread correction?

SpaceX is burning billions. Is its historic $1.5 trillion IPO valuation a massive bubble poised to burst on public markets?

As AI giants go public, will the relentless pressure for profit corrupt their original missions and ethical development?