SpaceX shares fell to a record low on Monday, even after the company’s Starship completed its most successful test flight yet. The stock dipped below $109 before closing 1.4% lower at $113.50, extending a decline that began after its IPO in June.
Investors are now looking beyond launch milestones. They are focused on whether Starship can achieve high flight rates, safe returns, and cost-effective operations to support SpaceX’s long-term ambitions.
Starship Achieves Key Flight Milestones
Starship lifted off from Starbase, Texas, on Friday during its 13th test flight. The mission deployed 20 next-generation Starlink V3 satellites, completed an engine relight in space, and ended with the upper stage making a controlled splashdown in the Indian Ocean.
SpaceX spokesperson Dan Huot expressed excitement during the livestream, calling the mission ‘lucky number 13.’ The spacecraft remained intact after landing, providing engineers with valuable heat shield data from reentry.
However, the Super Heavy booster did not complete its planned landing sequence. Five engines failed to restart during the landing burn, causing the booster to hit the Gulf of Mexico harder than intended. SpaceX did not plan to recover either vehicle.
The mission followed an engine-ignition abort on July 16 and a weather delay on July 23. Elon Musk said SpaceX may attempt to catch the Starship upper stage with its launch tower during Flight 14, pending a thorough data review.
SpaceX Stock Continues Post-IPO Decline
SpaceX stock closed at $115.07 on Friday before the launch, after falling 2.7% during the session and 7.2% over the week. Monday’s decline pushed shares further below the company’s $135 initial public offering price.
The stock has lost nearly half its value since reaching a post-IPO high above $225 in June. Short sellers have built positions during the decline, while investors question the company’s valuation and spending plans.
Alex Morris, CEO of F/m Investments, said the shares could move into ‘double digits.’ He acknowledged SpaceX’s strong product and limited direct competition but attributed some volatility to the company’s growing focus on artificial intelligence.
SpaceX plans to report second-quarter results on August 4. The release will give investors their first detailed look at quarterly revenue, costs, cash usage, Starlink growth, and spending across space and AI operations.
Starship Becomes Central to Future Plans
SpaceX is shifting its launch strategy toward Starship and away from Falcon 9. Reports indicate the company has turned away some satellite operators seeking dedicated Falcon 9 launches after 2028 and stopped accepting new rideshare reservations for later missions.
The company has also reduced production of some non-reusable Falcon components. This shift makes Starship’s reliability, reuse, and launch rate critical to operations, as Falcon 9 supports commercial launches and much of the Starlink deployment schedule.
Investors are monitoring the cost of repairing Starship after reentry and the turnaround time between flights. SpaceX aims to increase launch frequency sharply, but each test carries technical risk and can face hardware or weather delays.
SpaceX has not confirmed a date for Flight 14. Any tower-catch attempt depends on the company’s review of Flight 13 data, including engine performance, reentry conditions, heat shield results, and splashdown control before approving the next flight.
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