The optimism surrounding Elon Musk's SpaceX has cooled in recent days. ReutersThe optimism surrounding Elon Musk's SpaceX has cooled in recent days. ReutersShares briefly dropped to $147.11 at market open before recoveringSpaceX's stock price on Tuesday dropped below its launch price, erasing its gains since its red-hot debut less than two weeks ago.Shares briefly dropped to $147.11 at market open before recovering slightly to about $153. At its initial public offering on the Nasdaq on June 12 - the biggest in history - SpaceX's shares opened at $150 and, in the days that followed, soared to $225.64. That means shares are down about 30 per cent since that high. SpaceX's IPO made Elon Musk the world's first dollar trillionaire. The company also includes AI giant xAI and X, formerly Twitter. Despite the drop in SpaceX stock, Mr Musk's net worth on paper remains about $1 trillion.It has exceeded expectations since its initial public offering (IPO) debuted on June 12, at one point soaring to $225.64.It's difficult to attribute the SpaceX sell-off to one particular factor. Some analysts have pointed out that credit rating agencies have given it a less-than-stellar outlook amid concerns about some financial disclosures and potential market exposures. Other analysts also expressed concern after Mr Musk's company announced on Monday that it would be “issuing bonds to raise funds to refinance a short-term loan”, an unexpected move that signalled concern about the company's overall health. SpaceX's initial public offering was on June 12, 2026. ReutersInfoThere is also an increasing likelihood that the Democratic Party will win control of the US House of Representatives and possibly the Senate in the November midterm elections, which would put more regulatory pressure and scrutiny on SpaceX. Mr Musk is an outspoken supporter of the far right and conservative politicians and causes. He pumped hundreds of millions of dollars into US President Donald Trump's re-election campaign. An onlooker holds SpaceX signage during the company's initial public offering (IPO) at the Nasdaq MarketSite in New York. BloombergInfoThe mercurial tycoon's attempt to trim federal spending, with the approval of Mr Trump, slashed thousands of jobs in the US federal government and gutted America's foreign aid programmes, moves that continue to generate controversy. Some have also been concerned about the long-term outlook for his car company, Tesla, which has seen sales suffer partly because of Mr Musk's political views. Updated: June 23, 2026, 2:44 PM