SpaceX IPO Frenzy Lifts TSLA as Reddit Bets on Elon Musk's Empire

SpaceX's IPO on June 12 was the largest in U.S. history, raising $75 billion and valuing the company at $1.77 trillion.
Reddit traders on r/wallstreetbets and r/stockmarket linked SpaceX's valuation to TSLA, noting the combined market cap of Musk's public companies exceeded $3.77 trillion.
Elon Musk became the world's first trillionaire, with Forbes estimating his net worth at $1.1 trillion, including a 38% stake in SpaceX and 15% in Tesla.

SpaceX's historic IPO on June 12, 2026, was the dominant story across retail-investor communities, and

$TSLA rode the wave of Elon Musk mania. On r/wallstreetbets, a post titled "spaceX IPO is literally free money if you know what youre doing" garnered over 7,200 upvotes and nearly 2,000 comments, with the author predicting a 'generational run' for SpaceX and betting heavily on the IPO. The post's author noted they requested $180,000 in IPO allocation from Robinhood but received "basically nothing," reflecting the massive oversubscription—$250 billion in demand for a $75 billion offering.

On r/stockmarket, traders quickly connected the dots between SpaceX and Tesla. A post highlighted that when combined with

$TSLA, the other publicly traded Elon Musk company, the combined market cap reached $3.77 trillion. The post also noted that SpaceX (ticker SPCX) was the only non-profitable stock with a market cap above $1 trillion, and that at least one analyst—CFRA's Keith Snyder—had issued a Sell rating with a $115 target, implying a potential 30% downside from the IPO price.

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The Trillionaire Effect

Same-day news coverage amplified the Reddit buzz. Benzinga reported that Elon Musk became the world's first trillionaire following SpaceX's public debut, with Forbes estimating his net worth at $1.1 trillion—comprised of approximately 38% of SpaceX ($765 billion) and 15% of Tesla ($276 billion). The Motley Fool noted that SpaceX's IPO pushed Musk's net worth to $1.3 trillion, making him history's first trillionaire, though it cautioned that at a valuation of ~117 times sales, the stock appeared overpriced.

The spillover to

$TSLA was evident in Reddit sentiment. On r/wallstreetbets, a post titled "Will the Nasdaq-100 gods save me?" captured the speculative mood, with a trader hoping that Nasdaq-100 index addition or SpaceX news would pump TSLA back to $150 after losing $30,000 on call options. The post reflected a broader theme: retail investors viewed SpaceX's IPO as a catalyst for Tesla stock, betting that Musk's rising fortunes would lift all his publicly traded companies.

Valuation Debates and Analyst Skepticism

Not all Reddit commentary was bullish. On r/stockmarket, users debated whether SpaceX's $2.27 trillion market cap was justified, given the company's lack of profitability. The post noted that SPCX was the only non-profitable stock with a market cap above $1 trillion, and that CFRA analyst Keith Snyder—who had a track record of timely sell ratings on CHTR and ZM—issued a Sell rating with a $115 target. The Motley Fool echoed this caution, recommending investors wait for valuations to normalize and IPO volatility to settle before buying SPCX.

WisdomTree's Christopher Gannatti, in an exclusive Benzinga interview, argued that SpaceX's unique business model—spanning rocket launches, Starlink satellite broadband, and AI infrastructure—would create "persistent disagreement" among analysts about fair value, potentially generating both volatility and investment opportunities. This complexity was a key theme in Reddit discussions, where traders debated whether SpaceX was more like Amazon (a narrative stock bought for vision) or a bubble waiting to pop.

$TSLA

The Retail Takeaway

For retail investors on r/wallstreetbets and r/smallstreetbets, the SpaceX IPO was a defining moment. The sentiment on r/wallstreetbets was strongly bullish, with an average sentiment score of 0.56 across 106 posts, while r/smallstreetbets showed even higher bullishness at 0.69. The narrative was clear: Musk's empire was expanding, and

$TSLA was seen as a proxy for that growth. Whether the valuation math holds up remains to be seen, but for one day, the Reddit crowd was all-in on Elon.

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