Short Sellers Build $25 Billion Bet Against SpaceX as July Stock Slide Reaches 20%
Updated
Updated · CNBC · Jul 16
Short Sellers Build $25 Billion Bet Against SpaceX as July Stock Slide Reaches 20%
3 articles · Updated · CNBC · Jul 16
Summary
185 million SpaceX shares are now sold short—about 29% of the public float—up from roughly 40 million shares just three weeks ago, according to S3 Partners.
A 20% July drop has fueled the bearish buildup, with the stock briefly falling below its $135 IPO price on Wednesday before trading around $136.
Only about 5% of SpaceX's 13 billion shares were initially tradable, and investors are bracing for lockup expirations that could sharply expand supply over coming months.
KeyBanc estimates the first major unlock could arrive around second-quarter earnings, when about 11% of outstanding shares may become eligible for sale.
Thursday's 13th Starship test flight is the next near-term catalyst that could shift sentiment toward the stock.