SpaceX Stock Surges 14% as Insider Selling Fears Dissipate

The anticipated deluge of selling failed to materialize after 911.5 million shares held by employees and early investors became available for trade on Thursday. Market participants had feared that expanding the public float from 4.9% to 11.8% would suppress the stock price, yet the absence of significant insider liquidation removed a primary overhang. This stability was further bolstered by Argus Research, which upgraded the company from Hold to Buy, citing robust second-quarter results. SpaceX reported $7.8 billion in revenue—a 92% year-over-year increase—and adjusted earnings of $3.5 billion, both comfortably exceeding Wall Street projections.

Broader economic factors accelerated the upward momentum. A weaker-than-expected U.S. labor report, which saw nonfarm payrolls drop by 23,000, dampened expectations for aggressive Federal Reserve interest rate hikes. This environment favored growth-oriented stocks like SpaceX, which relies heavily on capital-intensive investments in Starlink and AI infrastructure. Additionally, ARK Invest signaled confidence by purchasing 181,830 shares following the mid-week dip. While the stock remains well below its June peak of $225, it successfully cleared technical resistance near the $130 level, positioning the shares to test the $135 IPO price in the coming sessions.