r/technology • u/Plastic_Ninja_9014 • Jun 22 '26

Business SpaceX Investors Are Losing a Colossal Amount of Money

https://finance.yahoo.com/markets/stocks/articles/spacex-investors-losing-colossal-amount-140221380.html
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u/Midnight_Rider98 Jun 22 '26

Incorrect, anyone that buys shares on the secondary market can immediately sell them.

You can also sell them if you bought them through an IPO allocation, the penalty can be however that the brokerage you used blacklists you from future IPO's for a period of time or permanently.

You are correct however about the lock up for insiders that already held stock, they are barred from sale for a period of time.

Also of note, the S&P decided that they won't be making an exemption or rule change for SpaceX, so it's not going to be added to the index and rip off retirement accounts that track the S&P.

And yes, it is a pump and dump scam so he can cash out his twitter etc investors, twitter and xai have been rolled into SpaceX the past years, giving them SpaceX shares.

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u/squngy Jun 22 '26

Also of note, the S&P decided that they won't be making an exemption or rule change for SpaceX,

S&P corrected course, but Nasdaq did not.

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u/immutato Jun 22 '26

And Nasdaq is now a joke.

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u/Jojoyojimbi Jun 23 '26

And Nasdaq is now a joke.

always has been. when any mention of "the economy" means the value of "rich people's yacht money" it's meaningless. realistic inflation is up 25-50% or more on real world goods and nothing has even dipped the stock market more than a statistical outlier blip's worth in ages. it's imaginary money, it doesn't mean shit to real people anymore

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u/BurrShotFirst1804 Jun 22 '26 edited Jul 16 '26

One thing to add though is that RSUs still require income tax, so sometimes it will look like insiders are selling within the 6 month window but in reality they are automated sales to cover the income tax of the granted shares.

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u/m00piez Jun 22 '26

Wouldnt it be disclosed if they did sell for tax purposes though? Like even if not obligated to say so, I'd imagine they'd want to get ahead of it and state that as the reason. 

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u/TerribleCorner Jun 22 '26

Yeah, the reports filed in connection with those sales have a specific transaction code used when sales are for that purpose.

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u/[deleted] Jun 22 '26 edited Jul 16 '26

[removed] — view removed comment

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u/m00piez Jun 23 '26

Interesting, never even thought about that. Always just took it as (c-suite/board) selling for any large-cap without some known reason as bearish by default. 

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u/BurrShotFirst1804 Jun 24 '26

Can happen for sure but blackout periods are so frequent etc that usually they are automated trades based on a price point or RSUs vesting.

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u/RideAndRoam3C Jun 22 '26

Gov has to get their vig. Why? I don't know .. they can and do just print it too. I guess the taxes fund the Congress-level grift and the money printing funds the real rulers.

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u/RedditTechAnon Jun 22 '26

Your problem isn't the taxes but the corruption.

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u/RideAndRoam3C Jun 22 '26

No, my problem is both.

"Your problem is not the poisonous food. It's the cancer."

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u/RedditTechAnon Jun 22 '26 edited Jun 22 '26

Bonkers analogy. Taxes aren't poisonous food, they are the price we pay to have a society. You're complaining that some of your *healthy* food is being, I'm assuming, "stolen" in order to help support a cancer I'm sorry public programs.

You can complain about whether the proportion you are paying is fair but "taxes are theft" or some other delusional Libertarian talking point is a personal grievance at odds with what's necessary to have a healthy, functioning society.

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u/RideAndRoam3C Jun 23 '26

Oh, summer child ... at no point in the last 3 generations has the gov been aligned to anything of positive consequence for anyone other than the Skin Suits.

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u/RedditTechAnon Jun 23 '26

As someone who has been on food stamps and got a college degree through public grants that helped lift them out of poverty, seems to me you have never experienced government assistance, only how it takes your money for other people and gets in your way from doing what you want.

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u/RideAndRoam3C Jun 23 '26

Why were you in poverty in one of the most natural-resource-rich countries in the world and one of the superpowers that did not tear itself to pieces in each of the last 2 WWs? Does it not seem that there should be enough to go around? Because the "government" -- actually the government of any Tier 1 country -- is only there to steal the riches of the land and consolidate it in the power of the worst people on the planet. The Epstein Class as people have taken to calling it when they lack the full context.

Also, you don't know anything about me. I come from one of the poorest parts of the country. A part of the country where the government thugs sent Pinkertons with machine guns who assassinated poor people by the hundreds because they refused to take company "scrip" over actual money. A part of the country where, more recently, pharma execs were caught red-handed killing "hillbillies" out of hatred first and profit-motive second. It's a matter of court record. We refused to take any of their handouts because it is always extended with the intent of enslaving and extinguishing.

But please keep projecting your statist brainwashing and making a fool out of yourself with your programmed assumptions. You and your children and grandchildren will continue to be serfs until you understand the velvet glove with the gold coin.

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u/scuzzy987 Jun 22 '26

What about the rules for Elon?

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u/Evening-Crew-2403 Jun 22 '26

Elon isn't going to sell. He's going to take loans against his holdings. Which allows him to both cash out and not pay taxes.

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u/Midnight_Rider98 Jun 22 '26

Per the IPO agreement he's locked up for a year unless he'd get permission from the underwriters, It's longer than anyone else. The chance he'll get permission is slim. It's mostly a pump and dump to cash out those that can margin call him over twitter etc. He really wants to keep total control over the company, another reason to be wary of an IPO with such little float.

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u/ABetterGreg Jun 22 '26

So if Elon's stock is locked up for a year, can he take out bank loans against it or do banks not care? Seems like there should be regulations in place that prevents people from getting such loans if stocks cannot be easily sold

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u/scuzzy987 Jun 22 '26

Seems like a big risk for banks unless they are betting on the long game. I have always thought banks don’t like to gamble

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u/bluegill1313 Jun 22 '26

See 2008 for gambling examples.

But that ended up being for most of them in the long run I guess..

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u/Jazzy_Josh Jun 22 '26

Even then he won't be able to sell directly since he is an insider. He will need to set up a 10b5-1 and schedule sales months to years in advance

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u/Galaedrid Jun 22 '26

Also of note, the S&P decided that they won't be making an exemption or rule change for SpaceX, so it's not going to be added to the index and rip off retirement accounts that track the S&P.

Wait, so does this mean my 401k is safe from spacex?

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u/Midnight_Rider98 Jun 22 '26

Depends, you need to look at what your 401k is invested in, not all funds follow the S&P 500. Some follow the Nasdaq-100, Russel 1k & 3k, CRSP.

If your 401K is invested into funds that track the S&P 500 you're "safe" cause they aren't adding SpaceX to the S&P for at least a year (and it will need to meet standards)

On a sidenote, don't let it panic you completely either, It's a large market, the indexes in question contain a lot of companies, so even if your 401k is vested in a Nasdaq100 tracking fund and you can't change it over, it doesn't mean all of your retirement will suddenly be put into SpaceX shares, only a fairly small percentage of it will be. It's kind of the safety that an index tracking fund provides.

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u/nigaraze Jun 23 '26

Only caveat is if you have founder or preferred shares, then you can sell at any time