The share price of U.S. space and artificial intelligence (AI) company SpaceX, which drew investor interest with the largest initial public offering (IPO) in history, fell below its offer price for the first time since listing.
Reuters reported that on the 15th (local time), SpaceX shares during trading fell 1.5% from the previous close to $134 (199,000 won).
That was below SpaceX's offer price ($135). It was the lowest since it listed on the 12th of last month.
SpaceX drew strong interest from the market at the time of the offering. Starting at an offer price of $135, the stock soared about 67% to $225.
On the back of that, the corporations value also grew to $2.6 trillion. Elon Musk, the chief executive officer (CEO) of SpaceX, gained the title of the first "trillionaire (a person with more than $1 trillion in asset)" in human history. SpaceX at one point overtook Amazon and Microsoft to rank No. 4 by market capitalization.
But in just a month, investor fervor cooled. In the securities industry, cited reasons for the decline include profit-taking by investors, concerns about investment in AI, and the potential for interest rate hikes by the Federal Reserve (Fed).
Daniela Hayson, chief analyst at Capital.com, said it was "the result of a combination of profit-taking, revaluation of value, and the unwinding of extremely bullish positions."
Justus Parma, CEO of Fortuna Investment, also said, "The 'elephant in the room' is that a significant portion of shareholders want to secure liquidity, which inherently puts downward pressure on the share price," adding, "We will see more of this trend this year."
Meanwhile, on the 16th, SpaceX's Starship will undertake its 13th test flight. Also, in the first week of next month, it plans to announce earnings.