SpaceX shares fall 28% from their June 16 high, yet short interest remains below 7% of float amid cautious trader sentiment.
SpaceX shares have declined 28% from their June 16 peak, erasing hundreds of billions in market value following a post-IPO rally. This week alone, the stock is down 12%, but short interest remains modest at around 40 million shares, or 5% to 7% of the float.
Despite the pullback, bearish bets on SpaceX are lower than those on 60 other S&P 500 companies, where short interest exceeds 7% of float. Over 30 million shares are available to borrow, with annualized borrowing costs below 1%, indicating ample liquidity.
Traders appear hesitant to increase short positions against a high-profile company led by Elon Musk, despite the recent sell-off. Analysts describe the current environment as typical price discovery rather than a short-squeeze scenario.