In a few weeks the pre-ipo share owners can offload the first batch of their shares (after q2 results release)
So guessing non investors in SpaceX are shorting for this event in expectation of a drop
SPCX is now Wall Street's most shorted new stock
11–20 of 134 posts
Re: SPCX is now Wall Street's most shorted new stock
#12Hasn't the stock already collapsed below IPO price? Does that mean the IPO was simply overpriced? Do these people expect the stock to go down even further? Shorting is way more risky I don't see why this would be the case unless my questions turned out to be predictions.
Yes, people expect it to trade much lower, around $40 per share, still would be a huge valuation for what the company has done. Goldman Sachs analysts had an extreme range, of like $6 Billion to $5T, but the consensus $2T required 100x revenue multiple by 2030. If revenue was less than 10x by 2030 it's less than $100B company, and only $6B if it remains flat. So a lot of downsides and the upside requires a continuati…
> Goldman Sachs analysts had an extreme range, of like $6 Billion to $5T
What a weird way for them to say "we don't know"! It's like saying this house has 0 to 100 bathrooms.
Re: SPCX is now Wall Street's most shorted new stock
#13Hasn't the stock already collapsed below IPO price? Does that mean the IPO was simply overpriced? Do these people expect the stock to go down even further? Shorting is way more risky I don't see why this would be the case unless my questions turned out to be predictions.
Tbh I'm no5 sure I've even seen an IPO where the price didn't collapse initially.
Re: SPCX is now Wall Street's most shorted new stock
#14Every single shorted stock, was purchased by someone else who is taking the long side of the trade. So there's as many people betting the stock will go up. This says more about volatility and volume of trading, than anything else.
You are assuming there are not naked shorts out there.
They're illegal, and you can look at them just as the broker making a long bet themselves. Since they'll have to pay off the short seller, if the stock goes down.
Re: SPCX is now Wall Street's most shorted new stock
#15From Matt Levine just today...
https://www.bloomberg.com/opinion/newsletters/2026-07-16/sho...
Right now, SpaceX has provided 639 million shares to trade. People want more.
In a month, there will be 1,583 million shares to trade.
But right now, there are actually 820 million shares to trade: the 639 million provided by SpaceX, plus another 181 million provided by short sellers.Re: SPCX is now Wall Street's most shorted new stock
#16Hasn't the stock already collapsed below IPO price? Does that mean the IPO was simply overpriced? Do these people expect the stock to go down even further? Shorting is way more risky I don't see why this would be the case unless my questions turned out to be predictions.
Yes, people expect it to trade much lower, around $40 per share, still would be a huge valuation for what the company has done. Goldman Sachs analysts had an extreme range, of like $6 Billion to $5T, but the consensus $2T required 100x revenue multiple by 2030. If revenue was less than 10x by 2030 it's less than $100B company, and only $6B if it remains flat. So a lot of downsides and the upside requires a continuati…
I haven't seen anything saying $40. The lowest I have seen is $70.
Re: SPCX is now Wall Street's most shorted new stock
#17Every single shorted stock, was purchased by someone else who is taking the long side of the trade. So there's as many people betting the stock will go up. This says more about volatility and volume of trading, than anything else.
You are assuming there are not naked shorts out there.
There’s always a buyer on the other side of a short, naked or located. The question is whether the originating broker actually borrowed the shares.
They are supposed to verify that before they place the trade and generally do follow the rules. Because if they don’t, they will be not allowed to allow any short sales for that security.
Re: SPCX is now Wall Street's most shorted new stock
#18[flagged]
Anyone that thinks Musk approaches anything for short-term results doesn't understand Musk.