SpaceX's $2.1 trillion valuation means it will soon enter stock indexes, impacting 401(k) accounts
By
Stan Choe
22d ago· 6 min readenNews
Summary
SpaceX's stock surged 19.2% on its Wall Street debut, giving the company a $2.1 trillion valuation that surpasses Exxon Mobil, Bank of America, and Coca-Cola combined. This massive valuation means SpaceX will soon be added to major stock indexes, which has significant implications for everyday investors and their 401(k) accounts. Many retirement funds rely on index-tracking funds that automatically include large-cap companies, meaning even people who want to avoid SpaceX or Elon Musk may end up invested in it through their retirement savings.
Source
bskySpaceX's $2.1 trillion valuation means it will soon enter stock indexes, impacting 401(k) accountsbit.lyKey quotes
· 3 pulledSpaceX is now worth $2.1 trillion after its stock launched 19.2% higher in its debut on Wall Street.
Whether or not you believe it deserves to be worth more than Exxon Mobil, Bank of America and Coca-Cola combined, the collective market does.
Many of these indexes don't care about how realistic a company's growth plans are or who its CEO is.
Think you can ignore all the hubbub around SpaceX, Elon Musk and IPOs? Your 401(k) won’t. Musk’s rocket company launched 19.2% higher in the first day of trading for its stock Friday, making it worth a total of $2.1 trillion. Whether or not you believe it
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