Short sellers of SpaceX equity have accumulated approximately $8.7 billion in unrealized profits since the company began trading publicly last month, according to data from Ortex Technologies. The stock, which reached a post-IPO high of $225.64, declined to trade near its initial offering price of $135 this week.
Ortex reports that approximately 49% of SpaceX's tradable shares are currently out on loan, a technical indicator often used to measure short-selling activity. On Wednesday, the share price briefly fell below the $135 IPO level for the first time before recovering to close slightly above it. By Thursday, shares were trading at $136.28.
Market analysts attribute the stock's recent volatility to investor concerns regarding debt-funded spending on artificial intelligence and skeptical views of the company's valuation. SpaceX has not provided a comment on the market activity. Every $1 movement in the share price currently represents a $300 million change in the value of the aggregate short position.