SpaceX’s share price has fallen below its June flotation price, slipping to $132.62 after a sharp decline from its post-IPO peak. The drop matters because the company’s listing had been seen as a landmark moment for investors and for Elon Musk, briefly helping make him the world’s first trillionaire. It also means some investors who bought near the debut could now be facing losses.

The shares were listed at $135 and are now 41% below their highest level since trading began, while the wider Nasdaq index fell only 0.2% on Wednesday compared with a drop of more than 2% for SpaceX. Analysts said early enthusiasm was driven partly by hopes around artificial intelligence after SpaceX acquired Musk’s xAI business, now renamed SpaceXAI, even though its core operations remain rockets and Starlink satellites. The stock has also been hit by concerns around Starlink pricing in Memphis and a lack of fresh positive catalysts, with the company’s first public earnings report due in August.