SpaceX IPO Leaves Billions on Table

SpaceX's recent IPO, valued at an unprecedented $75 billion, employed a highly unusual fixed offer price of $135 per share set before its roadshow. This strategy, according to finance professor Jay Ritter, resulted in a significant first-day stock price surge. The IPO left an estimated $20 billion in potential first-day profits unrealized, a figure more than double the previous record set by Alibaba. This approach suggests a potential disconnect between the company's valuation and market demand, leaving substantial gains unclaimed.