SpaceX is about to go public, and the numbers are genuinely staggering. Tom Lee, co-founder of Fundstrat Global Advisors, is warning that roughly $2 trillion worth of SpaceX stock could become tradable within 90 days of the company’s IPO, creating what amounts to a liquidity event the market hasn’t seen before.
The company filed its S-1 registration with the SEC in mid-May, targeting a valuation between $1.75 trillion and $2 trillion. If that holds, it would be the largest IPO in US history, aiming to raise up to $75 billion. For context, Saudi Aramco’s 2019 listing raised about $25.6 billion. SpaceX is playing in a different weight class entirely.
The lockup problem nobody’s pricing in
Here’s the thing about IPOs this size. The stock doesn’t just appear on exchanges and sit there quietly. There’s a mechanical process that follows, and Lee is flagging it as a potential risk that markets aren’t fully digesting.
When a company goes public, insiders and early investors are typically locked into holding their shares for 90 to 180 days. Once those lockup periods expire, those shareholders are free to sell. And historically, they do.
